The cryptocurrency market experienced a sharp downturn following reports of a major security breach at Bybit, one of the leading digital asset exchanges. Investors reacted swiftly, triggering sell-offs across major coins including Bitcoin (BTC), Ethereum (ETH), Solana (SOL), and Ripple (XRP). This article provides a detailed technical analysis of each asset’s current price action, key support and resistance levels, and strategic outlook amid ongoing market uncertainty.
Bitcoin (BTC): Wait for Clarity Before Taking Positions
Bitcoin 1-Hour Chart Analysis – February 22, 2025
Bitcoin briefly broke above the中期HMA (Hull Moving Average) on the daily chart on February 21, signaling potential bullish momentum. However, this move was quickly rejected, followed by a steep decline coinciding with news of the Bybit hack.
As of now, BTC has slightly recovered and is trading above the long-term HMA on the 4-hour chart. Despite this rebound, the broader trend remains uncertain due to the lack of a defined lower boundary on the daily timeframe. Without clear technical confirmation or stabilization, initiating new long positions carries elevated risk.
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Moreover, the ongoing developments surrounding the Bybit incident could significantly influence investor sentiment and trigger further fundamental-driven price swings. Until the full scope of the breach is disclosed and market confidence stabilizes, a cautious "wait-and-see" approach is advisable for Bitcoin traders.
Key indicators to monitor:
- Daily中期HMA as dynamic resistance
- 4-hour long-term HMA as immediate support
- Volume patterns during breakout attempts
Ethereum (ETH): Sharp Drop After Hack News – Proceed with Caution
Ethereum 1-Hour Chart Analysis – February 22, 2025
Ethereum showed signs of upward momentum around 6:00 PM on February 21, testing resistance near the upper Bollinger Band on the 4-hour chart. However, price action reversed sharply following reports of the Bybit security breach.
Currently, ETH is finding temporary support at the lower Bollinger Band on the 4-hour timeframe. Price sits between the日足short-term HMA and the 4-hour long-term HMA, indicating a period of consolidation with no clear directional bias.
From a technical standpoint, traders should watch for a breakout above key moving averages accompanied by Bollinger Band expansion—a potential signal of renewed trend formation. However, given the heightened sensitivity to external news events like exchange hacks, technical signals may be overshadowed by sentiment-driven moves in the short term.
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Until clarity emerges regarding the hack’s impact and resolution, aggressive positioning in either direction is not recommended. Risk management and position sizing should remain top priorities.
Solana (SOL): Rebound Attempt Fails – Downside Risk Persists
Solana 1-Hour Chart Analysis – February 22, 2025
Solana attempted to break above its日足short-term HMA but faced strong rejection, leading to a downward correction. The price is currently supported by the 1-hour long-term HMA, suggesting temporary buying interest at lower levels.
However, unless SOL can decisively surpass either the日足short-term HMA or the 4-hour long-term HMA, the bearish outlook remains intact. A confirmed breakdown on the 1-hour chart could open the door to further declines, with initial targets around $160.84 and stronger support near $155.30.
While technical patterns are currently providing reliable signals, the influence of macro events—such as exchange-related security incidents—cannot be ignored. Sudden news flow may invalidate established setups, emphasizing the need for stop-loss placement and real-time monitoring.
Key Levels to Watch:
- Resistance: 日足short-term HMA
- Support: $160.84 → $155.30
- Critical Indicator: 1-hour HMA alignment
Traders should maintain a defensive posture until both technical structure and market sentiment show signs of stabilization.
Ripple (XRP): Range-Bound Trading Expected Amid Uncertainty
Ripple 1-Hour Chart Analysis – February 22, 2025
XRP remains in a bearish phase on the daily chart but shows signs of consolidation as the 4-hour Bollinger Bands begin to contract. This suggests reduced volatility and an impending period of range-bound trading.
The likely scenario over the short to medium term is price oscillating between key moving averages:
- Support: 4-hour long-term HMA
- Resistance: 日足mid-to-long-term HMA
A breakout above or below these boundaries—confirmed by Dow Theory principles—could signal the start of a new intermediate trend. However, similar to other major cryptocurrencies, XRP is vulnerable to external shocks such as exchange hacks or regulatory announcements.
Given the current environment, traders should anticipate sudden volatility spikes driven by fundamental news rather than pure technical factors. Any breakout should be validated with volume and momentum confirmation before entering new trades.
Frequently Asked Questions (FAQ)
Q: What caused the recent drop in crypto prices?
A: The sharp decline across Bitcoin, Ethereum, and other major cryptocurrencies coincided with reports of a large-scale hacking incident at Bybit, where approximately $1.4 billion worth of assets were reportedly compromised. This triggered widespread fear and profit-taking in the market.
Q: Should I sell my holdings after the Bybit hack?
A: Panic selling is rarely advisable. Instead, reassess your risk exposure, ensure your funds are stored securely (preferably in cold wallets), and avoid making emotional decisions. Market reactions to such events often stabilize within days.
Q: How can I identify fake breakouts during volatile periods?
A: Look for confirmation through volume spikes, closing prices beyond key levels, and alignment across multiple timeframes. Use tools like MACD and Bollinger Band width to assess momentum and volatility compression.
Q: Are technical indicators still reliable after major news events?
A: While technical analysis remains valuable, its effectiveness can diminish during extreme news-driven movements. Always combine chart patterns with fundamental awareness and risk controls.
Q: When might the market recover from this downturn?
A: Recovery depends on how quickly trust is restored post-hack—through transparency from Bybit and no further losses. Historically, markets rebound once uncertainty clears and liquidity returns.
Core Keywords
Bitcoin analysis, Ethereum price prediction, Solana chart outlook, Ripple XRP range trading, Bybit hack impact, crypto market volatility, HMA indicator strategy, Bollinger Bands trading
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By integrating technical precision with awareness of external catalysts like exchange security breaches, traders can navigate turbulent markets more effectively. While opportunities exist in every cycle, patience and discipline remain essential—especially when headlines threaten to override logic.