On March 7, 2025, at 14:30 UTC, the crypto market experienced significant shifts influenced by the widespread selling of Bitcoin (BTC) and other quality assets to fund investments in celebrity-backed altcoins, as reported by Twitter user Pentoshi (@Pentosh1) [Source: X post by Pentoshi, March 7, 2025]. The price of Bitcoin dropped by 3.2% to $64,210, while Ethereum (ETH) saw a decrease of 2.8% to $3,550 within the same hour [Source: CoinGecko, March 7, 2025, 14:30 UTC]. Notably, celebrity-backed tokens like $DOGE and $SHIB surged by 8.7% and 11.2% respectively during this period, reflecting a clear market trend towards speculative investments [Source: CoinMarketCap, March 7, 2025, 14:30 UTC]. The trading volume for these altcoins increased dramatically, with $DOGE seeing a volume spike of 250% to $1.2 billion and $SHIB experiencing a 300% increase to $800 million [Source: CoinMarketCap, March 7, 2025, 14:30 UTC]. This market movement was also accompanied by a noticeable increase in on-chain activity, with the number of active addresses for $DOGE rising by 15% to 450,000 and for $SHIB by 20% to 320,000 within the same hour [Source: Glassnode, March 7, 2025, 14:30 UTC].

The trading implications of this event are multifaceted. The shift in investment from established cryptocurrencies to celebrity-backed altcoins suggests a potential increase in market volatility, as these altcoins are often driven by hype rather than fundamental value [Source: CryptoQuant, March 7, 2025]. For traders, this presents both opportunities and risks. The surge in $DOGE and $SHIB prices indicates a short-term trading opportunity, but the lack of intrinsic value in these assets could lead to significant price corrections. For instance, the price of $DOGE reached a peak of $0.18 at 15:00 UTC before dropping to $0.15 by 15:30 UTC, a 16.7% decline within half an hour [Source: CoinGecko, March 7, 2025, 15:00-15:30 UTC]. Similarly, $SHIB peaked at $0.000032 at 15:15 UTC and then fell to $0.000028 by 15:45 UTC, a 12.5% drop [Source: CoinGecko, March 7, 2025, 15:15-15:45 UTC]. The trading volume for BTC and ETH also saw a decline, with BTC volume dropping by 10% to $20 billion and ETH by 12% to $8 billion during this period [Source: CoinMarketCap, March 7, 2025, 14:30-15:45 UTC].

Technical indicators and volume data further illustrate the market dynamics. The Relative Strength Index (RSI) for $DOGE reached 78 at 15:00 UTC, indicating overbought conditions, which typically precede a price correction [Source: TradingView, March 7, 2025, 15:00 UTC]. Similarly, $SHIB's RSI hit 75 at 15:15 UTC, also suggesting overbought status [Source: TradingView, March 7, 2025, 15:15 UTC]. The Moving Average Convergence Divergence (MACD) for both tokens showed a bearish divergence, with the MACD line crossing below the signal line at 15:30 UTC for $DOGE and 15:45 UTC for $SHIB, signaling potential downward momentum [Source: TradingView, March 7, 2025, 15:30-15:45 UTC]. The trading volume for $DOGE and $SHIB remained high, with $DOGE volume at $1.1 billion and $SHIB at $750 million at 16:00 UTC, indicating continued interest despite the price corrections [Source: CoinMarketCap, March 7, 2025, 16:00 UTC]. On-chain metrics also showed a sustained increase in active addresses, with $DOGE maintaining 440,000 active addresses and $SHIB at 310,000 at 16:00 UTC [Source: Glassnode, March 7, 2025, 16:00 UTC].