Bitcoin drops below 90000 for the first time in a month as ether tumbles

Published at: February 26, 2025 12:52 PM

Updated at: February 27, 2025 3:34 AM

Bitcoin and Ether fell to their lowest levels in months on Tuesday, following a broad sell-off across financial markets. The drop also came as traders reacted to last week’s hack involving $1.5 billion worth of Ether from the crypto exchange Bybit.

Bitcoin, the largest cryptocurrency by market value, fell 6%, hitting $88,245 — its lowest point since November and the first time it slipped below $90,000 since mid-January.

Ether, the second-largest cryptocurrency, dropped by 11% at one stage, reaching $2,333 — its weakest level since October.

Bitcoin, created in 2009, is a decentralized digital currency that allows people to transfer money directly without needing a bank. All transactions are recorded on a blockchain — a public ledger that keeps track of every Bitcoin movement. With a market value exceeding $1 trillion, Bitcoin remains the most prominent cryptocurrency globally.

Ether, launched in 2015, is the native currency of the Ethereum blockchain. Unlike Bitcoin, Ether not only acts as a digital currency but also fuels the Ethereum network, supporting smart contracts and decentralized apps (dApps). It holds the second spot in the crypto market, with a value over $500 billion. The Ethereum network is well-known for its role in decentralized finance (DeFi), non-fungible tokens (NFTs), and other blockchain innovations.

Bitcoin and Ether are often seen as the most important cryptocurrencies — Bitcoin as a store of value and Ether as the backbone of Ethereum's ecosystem. They are heavily traded on crypto exchanges and serve as key indicators of the broader crypto market's health. Though other digital currencies like Litecoin, Ripple, and Solana have gained traction, Bitcoin and Ether remain the most established names in the space.