Bitcoin ($BTC) saw a steep decline of over 7% in a single day, hitting $86,000 on 25 February—its lowest level since November 2024.
The sudden drop has left the market uncertain, with analysts debating whether this is a temporary dip or the start of a deeper correction.
Cryptocurrency analyst, RLinda, has pointed out key price levels that could determine Bitcoin’s next move. $BTC is currently testing an important support range between $89,400 and $90,000. This zone has historically served as a strong foundation for price rebounds.
However, $BTC remains in a broader consolidation phase, with support also seen between $90,000 and $91,000. On shorter timeframes, Bitcoin is near local channel support, which traders are watching closely.
If buyers manage to hold the $89,400–$90,000 range, $BTC could recover toward $94,000. If not, a breakdown below $89,400 could increase selling pressure and drive prices lower.
Resistance levels are identified at $94,800 and $99,200, with immediate support sitting at $91,280 and $89,400. Investors are closely monitoring whether Bitcoin can stabilise above key levels to regain momentum.
Despite the current uncertainty, MN Capital founder, Michael van de Poppe, suggested that the $83,000–$87,000 range could act as a bottom before $BTC enters a new bullish phase.
The decline in Bitcoin’s price comes amid significant outflows from US-based Bitcoin spot ETFs. On 24 February, these funds recorded a single-day outflow of $516.4 million.
This coincided with renewed tariff threats from US President Donald Trump, adding further uncertainty to global markets.
Traders are now focused on whether $BTC can hold above key support or continue its downward trajectory. Broader economic concerns and declining investor sentiment are contributing to the bearish outlook.
The Crypto Fear & Greed Index has fallen into the ‘Extreme Fear’ category, reflecting heightened anxiety among investors. Historically, such sentiment shifts have led to increased price volatility. If Bitcoin fails to stabilise, further sell-offs could follow.
ETH and broader market also under pressure
Ethereum ($ETH) has also faced heavy losses, dropping 10.66% in the last 24 hours to $2,369. Over the past week, $ETH has lost 10%, sliding from $2,685 to its current price.
The second-largest cryptocurrency is on track for its worst February in years, with prices already down 23% this month.
Historically, February has been a strong month for Ethereum, with only one negative February recorded in 2018. This year, however, the token is struggling under macroeconomic pressures and a broader market downturn.
As of now, $ETH is trading at $2,387, marking a 12% daily drop. Bitcoin’s fall has also triggered similar declines across the market. Other major cryptocurrencies, including XRP ($XRP) and Solana ($SOL), have also experienced sharp losses.
According to CoinGlass data, over $1.34 billion in bullish crypto positions have been liquidated in the past 24 hours. Analysts warn that if $ETH falls below $2,400, it could face further declines.
Crypto analyst Ali has highlighted $2,300 as a critical support level for Ethereum. Meanwhile, data from Glassnode suggests that despite the falling price, investors are continuing to accumulate $ETH.
Around 786,660 ETH is held at the $2,632 support level, while 1.22 million $ETH sits at the $3,149 resistance mark. This accumulation pattern indicates that long-term investors may be buying at lower prices rather than exiting completely.
CryptoQuant CEO, Ki Young Ju, has predicted that regulatory developments surrounding Ethereum spot ETFs could drive a new phase of growth. He believes this could lead to a “Large Cap ETF altseason”, benefiting $ETH in the long term.
Whale accumulation is also increasing, with wallets holding 10,000–100,000 $ETH growing by 24% over the past year.
Strategy and Metaplanet continue Bitcoin accumulation
Despite market weakness, major firms are continuing to accumulate Bitcoin. Strategy (formerly MicroStrategy) has made its largest $BTC purchase of 2025, buying over 20,000 $BTC for nearly $2 billion.
The company, led by Michael Saylor, remains one of the largest corporate holders of Bitcoin. This latest acquisition follows a $2 billion stock offering, with proceeds used to expand Bitcoin reserves.
This additional $1.99 billion worth of Bitcoin, bringing its total holdings to 499,096 $BTC, valued at over $33.1 billion. With another purchase, the company could soon surpass the 500,000 $BTC milestone.
While this aggressive strategy shows confidence in $BTC’s long-term potential, Strategy’s stock has struggled in recent months. MSTR shares have declined, reflecting concerns over Bitcoin’s volatility and the financial risks tied to the company’s approach.
Saylor has consistently used capital from stock sales to fund Bitcoin purchases. However, current market conditions have presented challenges, with Bitcoin’s price weakness impacting both the cryptocurrency and Strategy’s stock performance.
To diversify its funding sources, Strategy has introduced new financial instruments, including perpetual securities. Institutional investors, including BlackRock, have taken positions in the company, highlighting the scale of these transactions.
Some analysts warn that Strategy’s large BTC purchases could create tax-related complications, but Saylor remains committed to long-term accumulation.
Elsewhere, Japanese investment firm, Metaplanet, has also expanded its Bitcoin holdings. On 25 February, the company announced the purchase of 135 $BTC for $12.9 million. This brings Metaplanet’s total Bitcoin holdings to 2,235 $BTC, up from 1,761 $BTC at the end of 2024.
Metaplanet has been aggressively increasing its Bitcoin reserves since adopting $BTC as a treasury asset in April 2024. The company’s approach is similar to Saylor’s, with long-term accumulation as the core strategy.
By mid-2024, Metaplanet held just 141 $BTC, but its rapid buying spree has significantly boosted its holdings. Metaplanet has also set ambitious targets, aiming to reach 10,000 $BTC by the end of 2025 and 21,000 $BTC by 2026.
With market sentiment fragile and key support levels under threat, traders are watching closely to see whether Bitcoin and Ethereum can stabilise or if further downside is ahead.
