Warning for the third week of August! SOL, DOGE, and LINK may face a multi-billion dollar liquidation wave.

In the third week of August, the altcoin market faced overall pressure, with the total market capitalization (TOTAL3) dropping 7% within a week, falling from over $1.1 trillion to $1.03 trillion. This pullback not only weakened the confidence of long positions but also sharply increased the bearish sentiment in the derivation market. On-chain liquidation data shows that the three major popular altcoins, Solana (SOL), DOGE (DOGE), and Chainlink (LINK), are facing potential liquidation risks in the billions of dollars.

Solana (SOL): The risk of long and short positions being hit simultaneously increases

(Source: Coinglass)

In the third week of August, the short positions for SOL have exceeded the long positions, but multiple bullish signals have appeared on the technical side:

Governance Proposal SIMD-0326: Introduce Alpenglow consensus protocol to shorten block finalization time.

Network performance hits a new high: transactions processed per second surpass 104,000, setting a new record.

Liquidation risk range:

If SOL breaks above 200 USD, it will trigger approximately 1.1 billion USD in short positions liquidation.

If it falls below 161 USD, approximately 646 million USD in long positions will be "liquidated."

Analysts warn that SOL may first fall below $170 before rebounding to above $200, meaning that both long positions and short positions may face liquidation.

DOGE: High Volatility Under ETF Spotlight

(Source: Coinglass)

DOGE became the focus in August for several reasons:

Grayscale submitted an application to convert a $25 million DOGE trust into a spot ETF.

Polymarket Betting: 70% of investors bet that the SEC will approve the DOGE ETF by the end of the year.

The price has increased by more than 30% since the beginning of this month (0.188 → 0.255 USD), but the liquidation chart shows that short positions still dominate.

Liquidation risk range:

Fall below $0.20: Long positions liquidation may exceed $176 million.

Break above 0.26 USD: short positions loss of about 290 million USD.

Trader Tardigrade predicts that the ascending triangle pattern of DOGE may push the mid-term price up to $1.8, but short-term volatility remains extremely high.

Chainlink (LINK): Whales Increase Holdings While Taking Profits

(Source: Coinglass)

LINK gained attention in August due to the Chainlink Reserve program, on-chain data shows:

Whale wallets have increased their holdings of over 1.1 million LINK in the past 7 days.

The exchange LINK reserves have increased, indicating that some investors have begun to take profits.

Liquidation Risk Range:

Fell below $22: long positions liquidation amount is approximately $85 million.

Break above $27: The short positions liquidated amount is also about $85 million.

The current altcoin season index is 51 points, with market sentiment leaning towards "greed", increasing the possibility of volatility and liquidation.

Conclusion

In the third week of August, the liquidation risks of the three major altcoins, SOL, DOGE, and LINK, have simultaneously intensified, and both long positions and short positions may face large-scale capital evaporation in the short term. For investors, this is a high-volatility period that requires cautious handling. It is recommended to closely monitor key price levels and on-chain liquidation data, and to implement risk management. For more real-time market data and in-depth analysis, please follow the official Gate platform.