Ethereum rebounds as crypto industry unites

Scheduled maintenance notice

We will be performing maintenance on Friday, 28th February 2025, from 2 AM to 8 AM AEDT. During this time, all services (site and API) will be unavailable.

For updates, follow us on X or check our status page. A final notification will be posted once maintenance is complete.

For any questions, please contact our support team.

Key market insights

• Ethereum rebounds as crypto industry unites: Ethereum climbed over 5% this week, while BTC consolidated.
• Bybit security breach, receives aid for damage control and recovery: Bybit suffered a security breach leading to the theft of over US$1.4 billion in Ethereum. Key industry players step in to support.
• The US Fed signals rate cuts as markets react to policy uncertainty: Fed officials anticipate up to two rate cuts this year, as investors react to inflation, market volatility, and results of ongoing geopolitical tensions.

Update on the Bybit hack

What happened and what it means for crypto

Last week, cryptocurrency exchange Bybit was hit by a major security breach, with hackers stealing an estimated US$1.4 billion worth of crypto. Authorities suspect that North Korea’s Lazarus Group was behind the attack. The group's crypto addresses have been linked to recent Solana meme coin scams, including rug pulls, according to on-chain investigator ZachXBT.

Despite the size of the hack, the crypto market remained largely stable. Bitcoin and Ethereum saw minor dips, but overall, there was no major panic. This is in stark contrast to February 3rd, when a policy announcement from Donald Trump about tariffs caused US$2 billion in liquidations and briefly sent ETH tumbling, before a quick recovery.

Bybit has already taken steps to address the situation. The exchange secured a bridge loan covering 80% of the lost funds, ensuring that operations continue without disruption. While investigations are ongoing, the swift response from Bybit and the broader industry has helped contain the fallout.

Check ETH

The weekly trading stats as of Monday, February 24th at 11:00 am AEDT, based on data from Tradingview in USD.

Check prices

Ethereum climbs while Bitcoin and XRP slow due to market uncertainty

Over the past week, Ethereum showed resilience, rising over 5% and reaching more than US$2,800. Meanwhile, BTC and XRP were among the many cryptocurrencies consolidating over the weekend, as the market remains clouded by uncertainty over upcoming policy changes in the US and macroeconomic conditions.

View XRP

The US Fed signals rate cuts as markets react to policy uncertainty

US Federal Reserve officials, including Atlanta Fed President Raphael Bostic, currently expects two interest rate cuts in 2025, citing widespread economic uncertainty. Investors are wary of potential inflation risks tied to President Trump’s trade and immigration policies, as new tariffs and spending cuts add to market volatility. Meanwhile, oil prices dropped over 2%, reflecting shifting geopolitical risks and supply disruptions. The Fed remains cautious for now, emphasising the need for measured adjustments to navigate an unpredictable economic landscape.

View ADA

Strategy Inc. hints that regular Bitcoin purchases may resume shortly

After a brief pause, Strategy Inc. (formerly known as MicroStrategy) seems poised to continue its Bitcoin acquisition strategy. Co-founder Michael Saylor himself hinted at this development by sharing a Bitcoin tracker on his official X page, a move that is typically seen before official BTC purchase announcements. This follows the company's recent US$2 billion convertible senior note offering, which is meant to fund further Bitcoin investments and general corporate needs.

View BTC

Looking ahead

This past week highlighted the resilience of the crypto market, as Ethereum outperformed both BTC and XRP. At the same time, the industry showed its strength in the face of adversity. The swift response from global exchanges, the crypto community and Bybit’s handling of the situation, reinforced confidence in the broader ecosystem. Market stability following the incident is a testament to crypto’s maturity.

Macroeconomic factors remain key drivers of the market. Just as the stock market responds to U.S. policies, crypto is also shaped by the US Federal Reserve’s decisions and broader economic trends. With the US Fed signalling potential rate cuts in 2025, investors are weighing inflation risks alongside the regulatory landscape. As institutions and exchanges continue to adapt, the coming weeks will be crucial in shaping the market’s next move.

Stay tuned for next week’s update as we track market reactions, institutional moves, and key economic shifts shaping the future of cryptocurrencies.

Stay up to date on the latest news in the digital asset space.

Sign up for free and join over 362,000 Australian traders who receive the BTC Markets weekly updates.

Google review

If you've had a great experience with BTC Markets, we'd love to hear from you! Leave us a review.

Feedback

If you have any feedback on our newsletter or want to request specific content, please submit a support ticket and we will respond shortly.

Disclaimer: The information provided on this page is issued by BTC Markets Pty Ltd (BTC Markets, we, us, our). The information is general only and is not intended to constitute an opinion or recommendation with respect to its contents. Past performance is not a reliable indicator of future performance. Any reference to past performance is intended to be for general illustrative purposes only. The information cannot be relied upon for any purposes and is not intended to be a substitute for professional advice.

The information does not purport to be complete, accurate or contain all of the information that a person may require to make a decision. It may also contain forward looking statements, which are subject to known and unknown risks, uncertainties, and other factors. We recommend you obtain professional advice before making any decision with respect to the matters discussed in this document. To the maximum extent permitted by law, BTC Markets will have no liability for any loss or liability of any kind: (i) arising in respect of the information contained (or not contained) on this page; or (ii) arising from a person relying on any information or statement contained on this page. The information provided is only intended for recipients in Australia. This information cannot be reproduced without our prior written permission.