Bitcoin Plummets Below $80K Amidst $1 Trillion Crypto Market Collapse

NEW YORK, Feb. 28, 2025 — Bitcoin‘s price has fallen below $80,000, representing a significant drop stemming from a broader cryptocurrency market decline that has erased $1 trillion in market value. Analysts are closely monitoring the situation, suggesting the potential for further reductions and questions surrounding the stability of the market.

The latest downturn marks a 25% decrease from Bitcoin’s all-time high of nearly $110,000. Market experts are now speculating how deep this correction may go. “According to technical analysis, the next target for Bitcoin’s price is around the $70,000 level, which serves as a strong support zone,” said Ruslan Lienkha, chief of markets at YouHodler, via email.

Despite the recent market turmoil, Lienkha reminds investors that it’s too soon to conclude that an extended downtrend is imminent. “U.S. stock indices have been in the red for several consecutive days, but it could simply be a market correction,” he added.

Analysts have also cited geopolitical tensions—primarily stemming from U.S. President Donald Trump‘s upcoming tariffs on Canada and Mexico—as factors contributing to the crypto market’s volatility. “The crypto market is currently very edgy,” stated Agne Linge, head of growth at decentralized on-chain bank WeFi. With a reading of 21 on the Crypto Fear & Greed index, this indicates the market’s heightened anxiety levels.

Linge further explained that as the broader economic outlook appears uncertain, many investors are likely to shift their capital from riskier assets, including Bitcoin, which is already vulnerable due to its inherent volatility. “Investors need stability, and Bitcoin does not offer that in the short term,” she asserted.

Markus Thielen, founder of 10x Research, noted that Bitcoin’s recent performance fits a “textbook ascending broadening wedge pattern,” projecting a potential price target in the low $70,000s. This technical assessment further amplifies the seriousness of the current price evaluation.

As the market responds to various external pressures, including economic policy changes and geopolitical developments, the question now is whether Bitcoin can regain its footing and how investors will manage their portfolios amid such turbulence.