Dogecoin Surges 11% as Bitcoin and XRP Lead Crypto Market Recovery #CriptoNews

Dogecoin Spikes 11% as Bitcoin and XRP Bounce Back After Dive

Cryptocurrencies are once again displaying their signature volatility, with Dogecoin, XRP, and Bitcoin rebounding sharply after Monday’s plunge. These digital assets have not only recovered lost ground but are experiencing significant gains.

Monday’s Downturn Turns to Tuesday’s Uptick

The market turmoil on Monday, fueled by fears of prolonged high interest rates in 2025, was short-lived. By Tuesday, Dogecoin, Bitcoin, and XRP had staged impressive recoveries:

• Dogecoin (DOGE):
  Dogecoin surged nearly 11% on Tuesday, hitting a price of $0.357. This marks a nearly seven-day high for the popular meme coin, effectively recovering from Monday’s losses. Despite the rally, Dogecoin remains down by 12% over the past 30 days, following December’s turbulent gains.
• XRP:
  XRP has also made an impressive comeback, rising by almost 9% to reach $2.66—the highest price seen in 2025. This is just shy of its seven-year peak of $2.82 recorded in December. The rally could be linked to renewed optimism surrounding potential XRP exchange-traded funds (ETFs) and Ripple’s connections with the incoming administration, as Ripple’s CEO and legal chief recently met with President-elect Donald Trump.
• Bitcoin (BTC):
  Bitcoin has fully recovered from Monday’s dive, climbing nearly 5% to reach $96,475. Its resilience underscores its position as a bellwether for the broader cryptocurrency market.
• Other Assets:
  Ethereum and Solana have also benefited from Tuesday’s bullish momentum, with gains of 6% and 5%, respectively.

Factors Driving the Recovery

1. Liquidation of Shorts:
   Data from CoinGlass shows that over $300 million worth of futures positions were liquidated in the past 24 hours. Unlike Monday, most of these liquidations were short positions, accounting for $221 million.
2. Speculative Optimism:
   Growing speculation about regulatory approvals, such as an XRP ETF, is fueling positive sentiment among investors.
3. Institutional Influence:
   Ripple’s interactions with political and financial leaders, as well as its ongoing legal battles, have brought additional attention to XRP.
4. Market Correction:
   Following Monday’s overreaction to interest rate fears, Tuesday’s rebound may represent a market correction, as traders reassess the long-term potential of these assets.

Key Takeaways

• Dogecoin, XRP, and Bitcoin have rebounded sharply after a steep drop on Monday.
• XRP has hit its highest price in 2025, while Dogecoin approaches a seven-day high.
• Liquidation of short positions contributed to the market’s rally.
• Positive developments like potential ETF approvals and institutional engagement are driving optimism.

As always, cryptocurrency investors should tread cautiously, given the market’s inherent volatility and sensitivity to macroeconomic and regulatory news.