The price of Bitcoin experienced a 10% recovery to reach $94,003 on March 2 during which it escaped from its technical bear market while altcoins saw major gains as XRP reached $2.94 with a 37% increase and Ethereum reached $2,504 by surging 13% and Solana gained more than 23%.
February Bear Market
Prices declined more than 17% during February reaching $84,350 from $101,000 to establish the longest bear market period since June 2022. Bitcoin experienced its lowest point at $78,867 on February 28 which led to a 21% decrease from its previous peak at $109,021 on January 20.
Trade War Fears
Bitcoin prices declined in February because financial markets became volatile as Trump threatened trade protectionist measures affecting imports from Canada, Mexico, and China which caused Wall Street indices to drop and investors to redirect assets into safer ground.
Regulatory Uncertainty
The expectation from the crypto community regarding Trump administration’s explicit cryptocurrency regulations has sparked nervousness since analysts detected “the initial excitement about Trump’s crypto-supporting outlook now needs readjustment.”
Limited Progress
The appointment of crypto-supportive officials to lead agencies like the SEC has caused the SEC to halt its enforcement effort against Coinbase yet Trump has failed to deliver many of his crypto-related campaign promises and banking institutions continue to face obstacles in serving crypto companies.
