Crypto markets faced heavy selling pressure on Tuesday as bearish sentiment spread across the altcoin sector, triggering sharp declines in several major tokens.
Among the biggest losers was Zcash, which suffered a double digit decline despite maintaining strong long term gains over the past year.
Altcoin Selloff Deepens
According to blockchain analytics firm Santiment, a broad market selloff impacted several altcoins, including Zcash, WLFI, Ondo Finance, and DeXe.
Zcash led the decline after dropping roughly 11% at one stage during the trading session. Although the token later reduced some losses, it still remained down around 7.5% over 24 hours while trading near $570.
Despite the sharp daily correction, ZEC has still gained approximately 60% over the past month and nearly 970% over the last year, putting the latest pullback into broader perspective.
WLFI also faced renewed pressure after falling around 8%, extending a difficult period for the token. The asset previously hit a fresh all time low in late April following a one day decline of 16%.
The token has remained under pressure amid controversy surrounding a lock up proposal, legal action involving Justin Sun, and ongoing scrutiny connected to ties with the Trump family.
Meanwhile, ONDO dropped roughly 7% following the death of Nathan Allman at the age of 32.
The company confirmed that longtime President Ian De Bode would assume the role of CEO moving forward.
Despite the decline, ONDO was still trading around $0.41 and remained up roughly 9% over the previous seven days.
Some Tokens Continue to Outperform
Although much of the market traded lower, several cryptocurrencies still posted strong weekly gains.
NEAR climbed more than 55% over the last seven days and traded around the $2.50 level, even after recording an 8% daily decline on Tuesday.
HYPE also continued its strong momentum, rising approximately 25% during the week according to Santiment data.
However, the biggest standout performer was RAIN, which surged to a new all time high near $0.012 after gaining nearly 55% over the week and more than 44% in a single day.
Bearish Mood May Signal Rebound
Santiment also noted that bearish market expectations have steadily increased over the last 10 days.
Historically, the analytics firm said that periods of widespread pessimism among traders have often preceded market recoveries, as crypto markets frequently move against prevailing crowd sentiment.
Still, uncertainty remains high as Bitcoin continues to trade below the $77,000 level and struggles to reclaim its descending 200 day moving average near $80,000.#cryptp#cryptonews https://coinsignals.net https://t.me/coinsignalpublic
