Bitcoin price drops to $83.4K, a swift recovery unlikely?
Bitcoin’s price fell to $83,500 on Feb. 26, marking its lowest level since November 2024. This sharp $12,820 decline over three days led to over $1 billion in liquidated long positions, according to CoinGlass. The drop is attributed to global economic concerns, weaker corporate earnings, and pressure from derivatives markets.
Economic uncertainty weighs on Bitcoin
Investor sentiment was shaken by U.S. President Trump’s tariff policies targeting Canada and Mexico, driving capital toward U.S. Treasurys. Even gold, typically a safe haven, dropped 2.2% from its all-time high. Unlike Big Tech firms, which benefit from acquisitions during downturns, Bitcoin offers no such advantage, making the S&P 500 a safer hedge.
MicroStrategy’s influence and institutional outflows
Some analysts argue that MicroStrategy (now Strategy) played a major role in pushing Bitcoin to $100,000, but doubts remain about its ability to sustain such growth. The company’s shares dropped 19.4%, signaling skepticism about its $42 billion capital raise. Additionally, Bitcoin spot ETFs saw over $1.1 billion in outflows, further damaging confidence.
Nvidia earnings and bitcoin options expiry
The upcoming earnings report from Nvidia has traders worried, as AI market fears and U.S. chip export restrictionscould weaken investor confidence. Meanwhile, the $6.9 billion Bitcoin options expiry on Feb. 28 may keep prices below $88,000, with put (sell) options outpacing calls.
Without positive economic signals, a return to $95,000 seems unlikely in the short term. Market risk concerns, institutional skepticism, and ETF outflows continue to pressure Bitcoin, making a swift rebound uncertain.
Source: Cointelegraph
Bitcoin whale ‘Spoofy’ accumulates $344M as price dips below $90K
A well-known Bitcoin whale, Spoofy, has accumulated 4,000 BTC (worth $344 million) as Bitcoin’s price fell between $82,000 and $85,000. Spoofy, identified by crypto analyst Saint Pump, is one of the largest market players and has a history of influencing Bitcoin prices.
Spoofy’s trading history and market influence
Spoofy gained notoriety in 2017 when accused of market manipulation through “spoofing,” a tactic involving placing large orders with the intention of canceling them before execution.
During the Luna and FTX collapses in 2022, Spoofy accumulated 70,000 BTC when prices ranged between $40,000 and $16,000. The whale later sold these holdings in 2023 and 2024 as Bitcoin recovered to $40,000–$70,000.
In 2024, Spoofy built a 24,000 BTC position, selling it when Bitcoin surged to $70,000–$108,000, partly driven by Donald Trump’s pro-crypto stance.
Panic selling vs. strategic buying
While whales like Spoofy buy dips, many retail investors panic-sell at a loss. CryptoQuant founder Ki Young Jucriticized those selling now as inexperienced, emphasizing that 30% corrections are typical in a Bitcoin bull market. He pointed out that Bitcoin dropped 53% in 2021 before reaching a new all-time high.
Glassnode analytics revealed that over $2.16 billion in realized losses came from new Bitcoin investors. Those holding Bitcoin for less than a week suffered the biggest losses, while long-term holders saw only minor declines.
Spoofy’s latest accumulation highlights how seasoned traders capitalize on market crashes, while retail investors often make emotion-driven decisions, reinforcing the importance of long-term strategy in Bitcoin investing.
Source: Cointelegraph
Crypto losses surge to $1.53 billion in February amid record Bybit hack
Crypto-related losses skyrocketed to $1.53 billion in February, marking a 20x increase from January, according to Immunefi, a web3 security platform. This represents an 18x rise compared to February 2024, when losses totaled $81.6 million. Year-to-date, total losses now stand at $1.6 billion, an eightfold increase from last year.
Bybit hack dominates February’s crypto exploits
The $1.46 billion Bybit hack, which occurred last Friday, was the largest crypto hack ever recorded and significantly inflated February’s total losses. Without this attack, losses for the month would have been just $68.3 million, even slightly lower than January’s $73.9 million.
The Bybit exploit surpasses all previous major crypto hacks, including:
- Coincheck (2018): $534 million stolen
- Mt. Gox (2014): $470 million stolen
- FTX (2022): $415 million lost during bankruptcy
Investigators attribute the Bybit breach to North Korea’s Lazarus Group, tracing it to malicious JavaScript served from a compromised Safe AWS S3 bucket, rather than a direct vulnerability in Bybit’s infrastructure.
DeFi exploits and most targeted networks
Beyond the Bybit hack, nine DeFi projects suffered losses, including Infini, zkLend, Ionic Money, and Cardex. However, no fraud cases were reported in February.
The BNB Chain and Ethereum networks were the most targeted, each suffering four attacks, accounting for 72.8% of on-chain losses. Abstract, Mode, and Optimism were also hit.
Immunefi has paid over $112 million in bug bounties to white-hat hackers, helping prevent $25 billion in potential theft. With 45,000 researchers, the platform supports major protocols like Polygon, Chainlink, and Optimism, reinforcing blockchain security efforts.
Source: The Block