27-2-2025 – Bitcoin’s value plummeted to $82,242, marking its steepest decline since late 2024. The premier cryptocurrency witnessed a substantial 4.90% drop on Wednesday evening, breaching the crucial $85,000 threshold.
Market analysts from Presto Research have highlighted this downturn as part of a broader four-day decline, unprecedented since last August. Current trading figures from Coingecko place Bitcoin at $85,790.59, reflecting ongoing market volatility.
The catalyst for this downturn appears to be institutional movements, with American spot Bitcoin ETFs experiencing a substantial $1 billion exodus as organisations dismantle their basis trading positions. Presto Research’s Peter Chung advises investors to maintain vigilance over CME annualised basis and traditional finance funding rates as crucial market indicators.
The ripple effect has impacted the broader cryptocurrency landscape, with Ether recording a 7.10% decline to $2,317. Other prominent digital currencies, including XRP, BNB, and Solana, have similarly faced downward pressure. SignalPlus’s Chief Executive, Chris Yu, notes that diminishing implied Bitcoin volatility suggests waning speculator confidence in near-term price appreciation.
Whilst Donald Trump’s electoral success initially sparked cryptocurrency gains, industry observers suggest that establishing robust regulatory frameworks remains a lengthy proposition. The current regulatory scrutiny of firms like MicroStrategy has created headwinds in the cryptocurrency market, leaving investors uncertain about Bitcoin’s recovery trajectory.