Daily Crypto Signals: Bitcoin and Ethereum Slide Below $92,000 and $2,500 as Market Sentiment Hits “Extreme Fear”
Market sentiment has plunged to its lowest level since September 2024, as President Trump’s tariff confirmation triggers a broader market selloff affecting cryptocurrencies, with Bitcoin falling 4.5% and Ethereum dropping over 10% in the past 24 hours.
What Happened in the Crypto Market?
With total market value declining almost 8% from over $3.31 trillion to around $3.09 trillion in only 24 hours, the bitcoin market has entered a moment of notable flux. Concurrent with President Donald Trump’s reaffirmation during a news conference with French President Emmanuel Macron that the 25% tariffs against Canada and Mexico are “going forward on time, on schedule,” this sharp drop follows.
The Crypto Fear & Greed Index shows the wider market fall: it dropped 24 points to a score of 25 on February 25, signifying “Extreme Fear,” a marked departure from the “Neutral” rating of 49 from the previous day. September 7, when Bitcoin fell to almost $54,000, was the last time the index recorded such significant panic.
With the S&P 500 down 2.3% and the Nasdaq Composite down 4% over the previous five trading days, this crypto selloff reflects weakness in conventional markets and suggests macroeconomic issues are substantially influencing investor mood across asset classes.
Bitcoin Tests Support at $91,000
Bitcoin BTC/USD dropped 4.5% over the past 24 hours to reach its lowest price since late November—under $92,000. Now testing vital support levels, the flagship cryptocurrency is under observation by analysts as having a $90,000 important milestone. A break below this level may finish a bearish double-top pattern and maybe set off more losses.
Instititutional interest is significant even with market decline. Originally MicroStrategy, Strategy just bought 20,356 Bitcoin for $1.99 billion at an average price of $97,514, therefore augmenting its overall holdings to 499,096 Bitcoin. Nevertheless, this positive trend was unable to stop the recent decline since US-based spot Bitcoin ETFs have had $1.14 billion in outflows during the past two weeks.
Glassnode observes that comparable periods of low volatility have typically followed “major market moves,” therefore the one-week realized volatility of Bitcoin has compressed to 23.42%, With a break below perhaps leading BTC to test the important $90,000 mark, technical analysts are eagerly monitoring the $93,388 support level.
Ethereum Experiences Sell Pressure Under $2,500
Ethereum ETH/USD is under more selling pressure; it dropped about 6% to $2,510 despite Bybit supposedly buying $740 million worth of ETH from the open market to recoup from last week’s $1.4 billion breach. The second-largest cryptocurrency showed limited demand at higher prices when it failed to maintain momentum above the $2,850 resistance level on February 23.
Following the record-breaking breach ascribed to North Korea’s Lazarus Group, bit CEO Ben Zhou declared that the ETH gap has “fully closed”. Although several analysts had predicted this significant buying to propel prices higher, most of the purchasing seems to have come from OTC desks instead of on open markets.
Citing good risk-reward ratios and solid technical indicators, several analysts remain “insanely optimistic” on Ethereum’s long-term prospects despite the temporary setback. Glassnode’s data indicates higher accumulation activity near the $2,632 support level, implying investors are “averaging down” instead of totally leaving positions.
Top Altcoins to Watch Today
- Solana SOL/USD – Currently trading at $141.80, SOL has continued its downward trend after failing to reclaim the $175 level. Technical indicators show bears remain in control, with potential support at $133 if selling pressure continues.
- XRP XRP/USD – Trading at $2.30, XRP is approaching the support line of its symmetrical triangle pattern. Buyers are expected to defend this level, but a break below could trigger a drop toward $1.77.
- BNB BNB/USD – Binance’s native token is trading at $615.16, caught between the 50-day SMA ($664) and support at $635. A break below $635 could send BNB toward $596, while a move above the 50-day SMA would suggest continued range-bound action.
- Cardano ADA/USD – Trading at $0.6886, ADA turned down from the 20-day EMA ($0.78) on February 23, showing strong bearish defense at that level. If price remains below $0.73, ADA could continue declining toward the channel’s support line. A break below this support could trigger a plunge to $0.50. Bulls need to push above the 20-day EMA to invalidate this bearish view.
- Chainlink LINK/USD – Recently resumed its downtrend after bears pulled the price below the $17.28 support on February 21. Currently trading at $15.25, LINK could drop to the support line of its descending channel pattern. If this level breaks, selling could accelerate and push the price down to $13. A break above the 20-day EMA ($18.72) would be the first sign of strength.
- Dogecoin DOGE/USD – Trading at $0.2105, DOGE has reached the support line of its descending channel pattern. Bulls will attempt a recovery, but failure to break above the 20-day EMA ($0.26) could lead to further declines toward $0.15.
- OKX (OKB) – Worth monitoring following news that OKX’s operator has pleaded guilty to operating an unlicensed money-transmitting business and agreed to pay over $500 million in penalties to resolve DOJ charges.
As market sentiment remains fragile, traders should watch for potential Bitcoin support at $90,000 and monitor how institutional players respond to these lower prices. The coming days will be crucial in determining whether this is a temporary correction or the beginning of a more sustained downtrend in the cryptocurrency market.
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