On February 22, 2025, the cryptocurrency market experienced a significant decline, losing approximately $200 billion in market value.
Major Cryptocurrencies Suffer Losses
Leading cryptocurrencies like Bitcoin and Ether were not spared from the downturn. Bitcoin was trading at $96,566, reflecting a weekly decline of 1.11% and an 11.26% drop from its all-time high of $108,786. Ether faced even steeper losses, plunging 15.5% over the past week to $2,734.24, a 43.95% drop from its peak of $4,878.26. Other altcoins, including Binance Coin (BNB), also saw significant losses.
Bybit Security Breach Triggers Market Panic
One of the primary reasons for the market decline was a severe security breach at the Bybit exchange. On February 21, hackers stole 401,346 Ether worth approximately $1.4 billion, marking the largest cryptocurrency theft in history. The breach sparked widespread panic, leading to mass sell-offs and the liquidation of over $544 million in open positions.
Bitcoin Remains Dominant Despite Market Chaos
Despite the sharp losses, Bitcoin continues to dominate the market, accounting for 60.1% of the total market value with a market cap of $1.91 trillion. Ether follows with a market cap of $330.22 billion. Stablecoins and other cryptocurrencies contribute to the overall market complexity and dynamics.
As the market attempts to recover from the steep losses, investors remain cautious due to ongoing security concerns and volatility. The coming weeks will be crucial for cryptocurrency recovery.
