Bitcoin Price Analysis: Why BTC Dropped in February & What’s Next

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Bitcoin’s recent dip in February has left many puzzled, but analysts believe it’s more than just market noise. After a terrific start in January of hitting an ATH of $109K, February gave the most shocking chills to the traders. Bitcoin’s price dipped 1.11% in the last 24 hours, now at around $96,148. Will it go deeper in the sea or there are chances of rebound? 

Let’s dive in. 

Why Bitcoin Slumped in February? 

In arecent video analysis Altcoin Daily analyst pointed out the key factors behind this dip. The market at present is in a challenging state with Trump’s tariff war on China/Canada causing a 9% BTC drop in the start of February. Market saw a massive jump in January with Bitcoin Reserve plans rumors, with no action so far the market gave a cold reaction to BTC. Moreover, even the new pro-crypto initiatives from the US Senate Banking Subcommittee, failed to boost Bitcoin. According to the analyst, this consolidation phase mirrors past trends, where Bitcoin rallied before major events like the 2024 elections but cooled off shortly after. 

Moreover, the post-halving cycle hasn’t delivered the expected surge. Historically, Bitcoin rallies after halvings, but this time, it’s been different. Consolidation phases have dragged on longer, leading to frustration among investors. 

One key factor is the slow pace of regulatory changes. Former US Representative Patrick McHenry highlighted that while crypto-friendly legislation is in motion, it could take 18-20 months to see substantial effects. This delay creates uncertainty, causing investors to hold back. Plus, Bitcoin’s price historically consolidates for 3-4 months post-halving, which aligns with the current trend.

Delayed Policies and Meme’s Disrupting the market

Moving on to, the Political moves, such as Trump’s executive orders supporting crypto, initially sparked optimism but didn’t deliver immediate price boosts. Analysts emphasize that the real impact will come when key regulatory positions are filled and legislation starts to shape the market structure. Until then, Bitcoin’s price is likely to fluctuate within this consolidation range.

Adding to the tension, Meme coins are back in the spotlight, with Kanye West hinting at launching his own meme coin. While this might sound exciting, the reality differs—the meme coin market has been bleeding, with over $44 billion wiped out in the last three weeks. Analysts are quick to point out that 2025 isn’t treating meme coins kindly. Unlike 2024’s meme coin frenzy, this year has seen brief pumps followed by sharp crashes. Trump Coin, for example, plummeted 80% in just 15 days, highlighting the volatility and risks involved.

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Is there any hope? 

To get some relief, Bitcoin’s fate this February depends on key trends. If history repeats after past halvings, prices could jump 40%, pushing BTC to $130K–$150K. On the same track, Strong ETF inflows, especially BlackRock’s $2.3B gain in 2024, and a possible “golden cross” above $106K might also spark growth. 

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