Big Day for Crypto Goes South After Bybit Hack

Published On Feb 22, 2025, 5:02 AM

On February 22, 2025, the cryptocurrency market faced a significant downturn after Bybit, a major exchange, announced it was hacked, leading to losses of nearly $1.5 billion. This occurred on the same day that Coinbase announced a settlement with the SEC that lifted a lingering lawsuit against it. Following the news of the hack, the prices of major cryptocurrencies such as Bitcoin and Ether fell sharply, and Coinbase's stock dropped by 8%. This incident highlights the ongoing volatility and risks within the cryptocurrency market, despite increasing political acceptance and potential regulatory reforms that could attract new investors.

Stock Forecasts

COIN

Negative

With the significant theft from Bybit causing panic in the crypto markets, it is likely to continue affecting the price movements of cryptocurrencies negatively. Additionally, the decline in Coinbase's stock suggests that investor sentiment regarding crypto is currently shaky. Nonetheless, if regulation improves, it could stabilize the market in the long run, but in the short term, the situation appears bleak.

Related News

The SEC's 2023 lawsuit formed part of a crackdown on crypto firms which President Trump pledged to reverse.

The end of a court fight with the largest U.S. crypto company would be a big win for an industry that financially backed President Trump.

More CEOs fed up with Delaware and its powerful Chancery Court are going the way of Elon Musk, reincorporating their companies elsewhere and publicly airing their frustrations.

COIN
META