The cryptocurrency market has faced significant declines as February 2025 draws to a close, with Bitcoin and several altcoins suffering under intense bearish pressure. Major cryptocurrencies such as Cardano (ADA) and Solana (SOL) have seen particularly sharp drops, marking this month as one of the worst for Bitcoin historically.
On Tuesday, Bitcoin's price fell approximately 5%, dropping to around $85,957, breaking through key support levels. This downturn mirrors declines seen across stock markets, particularly tech stocks, with the S&P 500 and NASDAQ falling by 0.50% and 1.35%, respectively. Analysts suggest this could signal the start of a longer-term bearish trend following Bitcoin's recent double top near all-time highs of over $108,000.
Cardano (ADA) has experienced almost a 10% decline within 24 hours, compounding its losses to about 30% over the past month. Despite this downturn, trading volume surged by 123% to $1.4 billion, hinting at heightened market activity likely driven by strong selling pressure. According to reports, ADA’s BBTrend indicator, which measures trend strength, remains positive but significantly below recent rally levels, indicating fading bullish momentum.
Technical indicators suggest ADA is struggling against bearish momentum, with the Ichimoku Cloud displaying strong bearish tendencies. Currently, the price remains well beneath the cloud, with no signs of recovery. For ADA to show signs of reversal, it would need to rise above its short-term and long-term moving averages.
Market watchers are speculating potential lower support levels for ADA, with estimates as low as $0.50 if the downward trend persists. This continued selling pressure is expected to keep buyers on the sidelines, unable to reclaim market control.
Similarly, Solana (SOL) has dropped by 5% over the last 24 hours, continuing its decline of around 45% within the past month, which has seen its market capitalization dwindle to $70 billion. The Ichimoku Cloud analysis for SOL confirms persistent bearish trends, with the price remaining below key support levels.
The number of Solana whales—addresses holding at least 10,000 SOL—has decreased, indicating increased selling activity among these large holders. Recent trading patterns suggest they have contributed to the prevailing bearish sentiment, pushing SOL down as it nears potential support levels of $133. If these levels fail, SOL could even sink to $120 or $110, marking its lowest point since August 2024.
For Solana to regain bullish momentum, it would need to breach resistance levels at $152, moving toward $171 and then $180; many are speculating how the impending $1.9 billion Solana token lockup on March 1 will impact prices.
Panic selling has also started to affect Polygon (POL), which fell 4.40% within 24 hours, adding to its 33% decline over the month. Some reports indicate 99.70% of POL holders are currently at a loss, with liquidity flowing out of the market. More than $13.2 million worth of POL tokens were sold and removed from exchanges, causing increased bearish pressure.
With deteriorated sentiment, analysts are cautioning against potential struggles, fearing POL may breach key support at $0.277. If the bearish trend continues, it might plunge toward $0.244, potentially establishing new lows.
Meanwhile, amid these declines, some altcoins have emerged as outliers. Vana (VANA), for example, has risen by 46% after YZi Labs, formerly known as Binance Labs, made a significant investment. This rally, coupled with soaring trading volume, demonstrates substantial interest from investors—even as the broader market faces headwinds.
Sonic (formerly FTM), has shown fluctuations with its price dropping 17% but remains on watch for potential rebounds reflective of changing market dynamics. The status of meme coin Official Trump (TRUMP) has been under pressure as well, down 14% over 24 hours, but could be poised for recovery depending on trading activity.
The ever-volatile cryptocurrency market has left investors wary, as continued declines lead to intensified selling pressure. The CoinMarketCap Fear & Greed Index is at fear levels, hinting at potential opportunities for buyers, provided the market sentiment shifts away from this bearish sentiment.
February's performance could potentially mark Bitcoin’s worst monthly performance on record. Amid these tumultuous shifts, market analysts caution against complacency and suggest paying close attention to upcoming technical indicators and economic catalysts which might alter the course of this bearish trend.