The cryptocurrency market experienced a sharp correction over the weekend, as major altcoins like Dogecoin (DOGE), Cardano (ADA), and Ripple (XRP) saw their prices drop by approximately 7%. This sudden decline has caught the attention of investors who had been riding a week-long bullish rally.
Market Cap Takes a Hit
According to CoinMarketCap, the global crypto market capitalization fell by 5%, shedding billions of dollars within hours. This pullback came after a strong week where several altcoins posted double-digit gains, leading many traders to lock in profits ahead of the weekend.
“Profit-taking and low weekend liquidity often trigger sudden sell-offs in crypto,” noted crypto analyst Emma Carter.
Dogecoin Drops Despite Strong Community Support
Dogecoin (DOGE), popular for its meme coin status and large community backing, fell over 7.2% within 48 hours. It had recently surged due to renewed interest from social media and speculative trading, but the rally proved short-lived.
- Current DOGE Price: $0.106 (as of May 24, 2025)
- 7-Day Change: -3.5%
- 24-Hour Volume: $800 million
DOGE remains highly volatile, often reacting sharply to market sentiment shifts.
Cardano (ADA) Breaks Below Key Support
Cardano’s ADA also suffered a steep decline, dipping below the crucial $0.50 support level. The project has continued its development progress, but price action hasn’t matched the fundamentals in recent weeks.
- Current ADA Price: $0.49
- Key Support Broken: $0.50
- Investor Outlook: Neutral to cautious
ADA’s recent dip highlights the importance of technical levels in trading behavior.
XRP Faces Selling Pressure Amid Regulatory Concerns
XRP, the native token of Ripple, dropped nearly 7% as regulatory uncertainties resurfaced. Although Ripple made legal progress in 2024, lingering concerns over global compliance still weigh heavily on XRP’s price action.
- Current XRP Price: $0.58
- 7-Day Change: -4.8%
- Sentiment: Bearish short-term
XRP’s price remains sensitive to any legal or compliance news.
What’s Next for the Market?
The weekend correction is a reminder of crypto’s volatility, especially when traders exit positions ahead of low-volume periods like weekends.
Key Takeaways:
- Short-term corrections are common in bull markets.
- Technical levels and liquidity matter more than ever.
- Diversification and risk management are crucial for retail investors.
Conclusion
While the drop in DOGE, ADA, and XRP may seem alarming, such pullbacks are normal in the crypto cycle. Long-term investors should focus on market fundamentals, not just short-term price movements.
Stay updated, stay diversified, and always manage your risk.