In the past 24 hours, the average decline of the entire crypto market was -12.12%. Some tokens even fell by more than -35%, and most tokens fell by -10% to -15%. This decline was unexpected.
Then let's analyze the reasons for the impact of the market environment, and then analyze the situation of some representative tokens at this moment, because the trend of some tokens may be changed as a result.
Global political and economic environment
From the perspective of the global political environment, on February 1, Trump signed an executive order to impose a 25% tariff on imports from Canada and Mexico and a 10% tariff on Chinese goods.
On January 29, the Federal Reserve Board of the United States ended a two-day monetary policy meeting and announced that the federal funds rate would be maintained at 4.25%-4.5%. This is the first time since September last year that the interest rate cut cycle has been suspended, which is in line with public expectations.
The probability of the Federal Reserve maintaining the interest rate unchanged in March is 82%, and the probability of a 25 basis point interest rate cut is 18%. The probability of maintaining the current interest rate unchanged by May is 57%, the probability of a cumulative interest rate cut of 25 basis points is 37%, and the probability of a cumulative interest rate cut of 50 basis points is 5.4%. Wall Street has very different views on the direction of the Federal Reserve's monetary policy this year.
The entire market has also been manipulated to varying degrees. Currently, 15 states in the United States are also promoting BTC strategic reserves. The biggest goal of the current U.S. government and large conglomerates such as Blockrock and Microstrategy is to buy as much BTC as possible below the 100K price. The only way to do this is to create more shocks to shake out retail investors and individual investors who are afraid and have weak funds, so that they can buy BTC at a lower price.
The announcement of China's Deepseek has greatly disappointed American investors with the original American brands. Many people have sold their US technology stocks because when investing in the technology field, as long as you fall behind, you will lose.
These combined reasons have caused a major cleanup of the entire crypto market, and the US stock market has also been affected and has fallen sharply overall.
Let's take a look at the current situation of the representative token:
BTC fell -5.55% in 24 hours, and the current price is 93732 US dollars. It is blocked by the daily 100EMA. Now is a critical moment. If BTC continues to fall below 83K, then the entire bull market will turn into a bear market. This is what no one wants to see.
ETH has dropped 19.06% in the past 24 hours. The current price is $2,510. It has fallen to $2,118 at its lowest point, but the forgotten historical trend line has held it back. From the technical chart, it should have fallen through. If nothing unexpected happens, ETH should move upward from now on and will be entangled around $4,000.
Some people ask if there is still a cottage season. There are still February and March in the first quarter of 2025. It depends on the performance of these two months.
SOL
SOL has fallen by -6.81% in the past 24 hours. It has been very resilient in this catastrophe and has not fallen below the recent support red line. The current price is $195.38. If there are no surprises, it will rise as originally expected.
XRP
XRP fell sharply, -20.16%, and fell below the psychological price of 2 US dollars in the market, and then quickly recovered, and the price is now 2.32 US dollars. In theory, XRP should not fall further, and should start to recover upward.
ADA
ADA fell badly, -29.94%, and fell to around $0.5. If it fell further, it would have hurt its vitality. Fortunately, it stopped, which is considered to be the lowest standard in the textbook. If there are no unexpected market events, it should turn around and go up.
$SUI
SUI's decline was -24.62%. It started to fall after it fell to $2.45, and it was also saved by the old support line. This token has also fallen through, and it should move upward from now on.
$DOGE
DOGE fell 22.61% in 24 hours, it fell to around $0.2, and formed a new resistance and support line, temporarily changing its fate. From now on, it should start to rise, but it will temporarily walk in this downward sloping channel. The highest target nearby is temporarily seen around $0.39, so its active price range should be $0.2 to $0.39.
BNB fell -15.78% in 24 hours, and the current price is 554.21 US dollars. In this turmoil, the BNB chart formed a new trend line, forming an upward sloping channel, which can be regarded as a temporary change of fortune. So it is predicted that BNB will temporarily move in the channel for a period of time in the future, and the activity price range may be between 500 US dollars and 850 US dollars.
Finally, a small safety suggestion: in the eventful market turmoil, do not use super leverage in short-term trading and set stop losses. It is the best policy to preserve your own financial strength, and then talk about profit.
