- Bitcoin struggled as market sentiment worsened amid Trump’s tariffs and economic uncertainty.
- Massive liquidations and the Bybit hack intensify panic, erasing billions from crypto markets.
The crypto market has resumed its downward trajectory after a brief recovery from the turbulence triggered by Donald Trump’s tariff announcement on Canada and Mexico.
This followed Trump’s announcement to impose a 25% tariff on the European Union during his first cabinet meeting.
Speaking at the first cabinet meeting on the 26th of February, Trump said,
“We have made a decision and we’ll be announcing it very soon. It’ll be 25 percent generally speaking, and that will be on cars and all other things.”
Current market condition for BTC
According to the latest data from CoinMarketCap, the global crypto market capitalization has declined by 3.61% in the past 24 hours, settling at $2.83 trillion.
Bitcoin [BTC], mirroring the broader market sentiment, is trading at $86,112.34 after a 3.01% drop, marking its third consecutive day of losses.
That being said, the leading cryptocurrency briefly plunged to $82,256—its lowest since 11th November 2024—before seeing a slight rebound.
However, market data indicates that further corrections may be on the horizon before stability returns.
These analysts believe…
Remarking on the same, independent market analyst Scott Melker posted the following chart and said,
“Bullish divergence with oversold RSI STILL very much in play. At the moment, RSI still is making a higher low. We need to see a clear “elbow up” on the next candle to confirm. Noting here yet.”
Source: The Wolf Of All Streets/X
As Bitcoin teeters on the edge of the $80,000 range, market sentiment has significantly declined. The Crypto Fear & Greed Index has plunged to 10, its lowest level in a year, signaling “extreme fear.”
Traders remain divided on where Bitcoin may find a stable floor. Many anticipate a potential bottom between $80,000 and $71,000.
Source: Colin Talks Crypto/X
Meanwhile, data shared by Velo on X (formerly Twitter) paints a grim picture, marking Bitcoin’s worst three-day performance since 2022, accompanied by substantial capital outflows from spot BTC ETFs.
Source: Velo/X
What’s more?
Beyond market turbulence, broader economic concerns loom, as the Trump administration has issued directives to federal agencies outlining plans for large-scale layoffs, adding further uncertainty to the financial landscape.
This has also triggered a sell-off in U.S. equities, with the S&P 500 declining amid mounting economic concerns.
Source: The Kobeissi Letter/X
Beyond the shockwaves from Trump’s tariff plans, the crypto market has been hit by a massive wave of liquidations. $340 million was wiped out in just an hour, and over $150 billion was lost in the past 24 hours.
The heightened volatility has fueled panic selling, deepening losses across the board.
Adding to the turmoil, the recent Bybit hack on the 21st of February has further shaken investor confidence. The exchange reportedly suffered a staggering $1.4 billion loss. This marked the largest financial heist in history and amplified uncertainty in an already fragile market.
With such events clouding the crypto ecosystem, it remains to be seen whether Bitcoin finds new support or continues to decline.
