The crypto market took a sharp hit this weekend, losing around $100 billion in total market cap. Ethereum and XRP were particularly hard hit, with drops of approximately 5.66% and 7.98% respectively, while Bitcoin only saw a minor decline of around 3%. According to CryptoSlate, this significant downturn coincided with reported Israeli air strikes in Gaza that resulted in civilian casualties, raising concerns about geopolitical instability affecting market sentiment.

The report highlights how weekend trading conditions, characterized by thin liquidity, can exacerbate market volatility. Fewer active traders and market makers lead to a more fragile trading environment, making it easier for sudden shifts in sentiment to trigger drastic price movements. Ethereum led the liquidations with around $383 million liquidated over the past 24 hours, reflecting a broader trend where altcoins suffer most during such turbulence.

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This rapid decline is a reminder of how sensitive the crypto market is to external shocks, especially when liquidity is low. With traders often absent over the weekend, these price drops can feel particularly unfair to those who have meticulously managed their risks during the week. The broader implications suggest that crypto remains vulnerable to geopolitical tensions and macroeconomic shifts, highlighting the importance of staying alert and prepared for sudden changes in market conditions.

As the market stabilizes, it will be crucial to watch how Bitcoin, Ethereum, and XRP respond in the coming days. The weekend's events underscore the ongoing challenges traders face in navigating a market prone to sharp fluctuations during off-hours.