Bitcoin plunged below the $80,000 mark on February 28, 2025, sending shockwaves through the crypto market. The 6% drop in just 24 hours pushed the flagship cryptocurrency to around $79,800, marking a steep 27% decline from its January all-time high of $109,000. So much for that post-Trump election euphoria. All those gains? Gone.
The crypto party’s over as Bitcoin plummets below $80K, erasing all post-Trump gains in a brutal 27% nosedive from January highs.
The crash didn’t happen in a vacuum. A perfect storm of bad news hammered crypto from all sides. Trump’s proposed 25% tariffs on Canada, Mexico, and EU imports spooked investors. Meanwhile, Bitcoin ETFs hemorrhaged $2.7 billion in outflows over the past week.
Oh, and let’s not forget the $1.4 billion Bybit exchange hack. Nothing like a massive security breach to build confidence, right? This incident represents the largest theft in crypto history, further eroding market confidence during an already volatile period.
The bloodbath wasn’t limited to Bitcoin. Ethereum, Binance Coin, and Solana all posted double-digit losses. Dogecoin and Cardano got absolutely crushed. Even Trump’s own meme coin nosedived 80% from its peak. The total crypto market cap shrank by a staggering $1 trillion. Ouch.
Technical indicators aren’t painting a pretty picture either. Bitcoin’s currently trading below its 200-day moving average, with analysts eyeing $70,000 as the next support level. Wolfe Research warns things could get uglier if Bitcoin can’t reclaim $90,000 soon. Fat chance of that happening.
Historically, Bitcoin’s had 16 major corrections, ranging from 30% to a gut-wrenching 85%. The current dip looks eerily familiar. Remember the 78% plunge in 2021-2022? That took years to recover from.
Social media’s buzzing with “buy the dip” posts, but veteran trader Arthur Hayes predicts another sharp drop over the weekend. The decline occurred in the early hours of Friday, marking a significant correction that has rattled investor confidence across cryptocurrency markets. On-chain data shows newer investors are panicking and selling. The smart money? They’re watching from the sidelines.
With $327 million in leveraged positions liquidated and regulatory concerns mounting, Bitcoin’s immediate future looks shaky at best. The energy-intensive mining operations that process Bitcoin transactions currently consume approximately 110 TWh annually, raising additional questions about the cryptocurrency’s long-term sustainability. The question isn’t if more trouble is ahead—it’s how much.
