SEC Drops Investigations On 5 Crypto Firms  as Bitcoin Falls to $78,907 and XRP Hits $1,99

The market faces a downturn, resulting in Bitcoin dropping to $78,907 and XRP falling to $1.99 as the SEC investigates 5 major crypto firms. Read More!The crypto market decline is ongoing as of February 28, 2025, with Bitcoin impacting the altcoin sector and pushing it toward a downtrend. Amid this market decline, the United States Securities and Exchange Commission (SEC) made an unexpected step. The SEC made a shocking move, bringing five major crypto giants under investigation within just five days.

This move shocked the crypto world and prompted a discussion of the SEC’s evolving stance on regulation and its future implications for the market. The SEC made this shocking move, and major coins like XRP and Bitcoin faced downtrends, with Bitcoin losing all the gains the crypto made during the Trump election. Below, you’ll explore all these three events in brief as the market traders await a clear bullish signal.

Market Faces Downtrend Following SEC’s Shocking Move

In the last 24 hours, there have been no gainers, and market conditions are rapidly declining. The cryptocurrency market saw $524 million in liquidation in the past 24 hours. The sharp price downtrend has resulted in significant losses across the market, impacting mostly the long-position traders. Following this crypto market decline, the SEC took action, dropping five major crypto companies: Robinhood, Uniswap, Gemini, Consensys, and Coinbase. 

This sudden move was reportedly due to a shift in regulatory priorities, which will favor the crypto market. However, despite a favorable environment, giants like XRP and Bitcoin are currently witnessing downtrends due to high volatility. In fact, Bitcoin, as discussed above, has dropped 21% from its peak on January 20 following Donald Trump’s U.S. presidential election victory in November, according to Reuters. 

<blockquote class=”twitter-tweet”><p lang=”en” dir=”ltr”>This week, the SEC ended investigations into the following crypto companies <br><br>Monday: Robinhood <br>Tuesday: Uniswap <br>Wednesday: Gemini <br>Thursday: Consensys<br>Friday: ??? <a href=”https://t.co/0QI5gGi5dk”>pic.twitter.com/0QI5gGi5dk</a></p>&mdash; Watcher.Guru (@WatcherGuru) <a href=”https://twitter.com/WatcherGuru/status/1895206258371862686?ref_src=twsrc%5Etfw”>February 27, 2025</a></blockquote> <script async src=”https://platform.twitter.com/widgets.js” charset=”utf-8″></script>

Bitcoin Price Drop & XRP Price Wooble 

The 21% Bitcoin price drop is the result of fading hopes for a U.S. strategic Bitcoin reserve and growing concerns about tariff threats, which have dampened demand for speculative assets. Now, with the market uncertainty adding to the downtrend of Bitcoin, at the time of writing, Bitcoin is trading at $78,907. Several factors are considered to be causing the price decrease of Bitcoin, such as Bybit hacking and global regulatory concerns and shifts in policies, including tariff tensions between major economies.

Moreover, the XRP downtrend is also the cause of the bearish market. It is currently sitting at $1.99, reflecting the ongoing downward trend. XRP is going through a tough time as it faces difficulty pushing past the $2.20 resistance level, while after the crypto market decline, the whole crypto space is struggling to gain momentum. However, to make any upward trend, XRP downtrend, an uptrend, it has to cross the mark of $2.30, which would shift the market sentiment and push the price toward $2.350, $2.420, or even $2.450.

Source: TradingView

Market Outlook: Trump’s Policy & AI Tokens Price Decreased from $0.80 to $0.75

Despite Trump’s promises of a “crypto presidency” and his aim of a national bitcoin reserve, the market remains subdued. Many investors are now wondering if the administration is really as pro-crypto as it first seemed. Analysts suggest that the market is in a “wait-and-see” phase, holding out for more clarity on regulations or hoping for actions like interest rate cuts from the Federal Reserve to get things moving. The overall crypto market has lost nearly $1 trillion in value since December, and its market capitalization now sits at $2.76 trillion.  

On the other hand, on February 28, 2025, Crypto Rover shared a tweet that shook Bitcoin, stating that, “#BITCOIN: IT’S OVER…“. Additionally, the same account added one more post that revealed Bitcoin had been down nearly 17% since Michael Saylor bought $2 billion worth on February 25. As Bitcoin faces bullish trends, so does its impact on the price movement of altcoins. Reportedly, Bitcoin did affect AI-related tokens, such as SingularityNET (AGIX), which witnessed a price decrease from $0.80 to $0.75 (CryptoCompare, February 28, 2025). 

<blockquote class=”twitter-tweet”><p lang=”en” dir=”ltr”><a href=”https://twitter.com/hashtag/BITCOIN?src=hash&amp;ref_src=twsrc%5Etfw”>#BITCOIN</a>: IT&#39;S OVER…<br><br>Watch NOW:👇<a href=”https://t.co/U3YwPRUmjg”>https://t.co/U3YwPRUmjg</a> <a href=”https://t.co/NImtnnKosP”>pic.twitter.com/NImtnnKosP</a></p>&mdash; Crypto Rover (@rovercrc) <a href=”https://twitter.com/rovercrc/status/1895347397452275859?ref_src=twsrc%5Etfw”>February 28, 2025</a></blockquote> <script async src=”https://platform.twitter.com/widgets.js” charset=”utf-8″></script>