As mentioned yesterday, the second exploration has arrived, currently holding less than 30% of positions, strictly controlling drawdowns, waiting for the major crash of BTC to start the altcoin market.
February 26, 2025
Market Overview
The price of Bitcoin has recently experienced a significant decline, currently finding temporary support near $86,000. It broke below the key psychological level of $90,000 yesterday, triggering large-scale liquidations in the market. Reports indicate that approximately 250,000 people faced liquidation within the past 24 hours, totaling around $1.06 billion in forced liquidations.
Key Market Factors
Macroeconomic Impact
The Trump administration's 25% tariff policy on Canada and Mexico has triggered risk-averse sentiments in the market.
Expectations of interest rate hikes from the Federal Reserve are pressuring risk assets.
Tech stocks (such as Tesla) have recently performed poorly, dragging down overall market sentiment.
Industry Security Events
Bybit and Infini exchanges reported security vulnerabilities, allegedly affecting assets worth around $1.5 billion.
Security incidents have intensified market panic, further prompting investors to sell off.
Institutional Fund Flows
Bitcoin spot ETFs have reportedly attracted around $36.4 billion in inflows this year.
Ethereum ETFs recorded approximately $2.4 billion in inflows.
Institutions may be increasing holdings during price corrections.
Technical Analysis
Current market technical indicators show:
Short-term support level: $86,000 (current level)
Further support range: $84,500 - $73,800
Market sentiment index is at its lowest level since August.
Liquidation of leveraged positions may exacerbate short-term volatility.
Stablecoin Market Development
The landscape of the stablecoin market is changing:
Tether (USDT) market share is being challenged.
Circle collaborates with Binance to strengthen the USDC ecosystem.
Diversification of stablecoins may affect DeFi liquidity distribution.
Global Regulatory Environment
The Bitcoin investment bill in South Dakota has not passed.
The Czech Republic is reportedly considering allocating 5% of reserves to Bitcoin.
El Salvador continues to advance its Bitcoin strategy.
The Trump administration appointed new SEC chairman Paul Atkins, and the market is taking a wait-and-see attitude towards regulatory policy direction.
Risk Warning
Current market leverage remains high, amplifying volatility effects.
Large-scale liquidations may trigger a chain reaction.
Policy uncertainty continues to affect market expectations.
Security incidents may further impact market confidence.
