Bitcoin, Dogecoin Struggle, Ethereum Gains Amid Grim Crypto Sentiment After Bybit's Billion-Dollar Hack: Analyst Says 'Still Time Left In The Cycle'

The crypto market is grappling with a grim outlook following the recent $1.4 billion hack of Bybit, the world's second-largest cryptocurrency exchange by trading volume. The hack, which involved the theft of over 500,000 ETH from Bybit's cold wallet, has sent shockwaves through the market, impacting investor confidence and triggering a wave of volatility. As the dust settles, analysts are assessing the potential implications for the remaining time in the crypto cycle.

Bitcoin and Dogecoin have been struggling in recent weeks, with their relative weakness against Ethereum becoming increasingly apparent. Bitcoin's valuation against Ethereum (ETH/BTC ratio) has reached its lowest levels since December 2020, while Dogecoin has not shown similar signs of strength. In contrast, Ethereum has been gaining momentum, with its exchange supply declining rapidly and the amount of Ether withdrawn from crypto derivatives exchanges surging to its highest level since August 2023.

The Bybit hack has further dampened enthusiasm in the crypto market, with investors and traders remaining cautious and vigilant. The hacker, now in possession of over 500,000 ETH, faces challenges in selling such a large amount of ETH without detection. The current market conditions are not favorable for liquidating such a large amount of ETH, and if the hacker were to sell at scale, it would likely trigger a major market downturn.



Analysts predict that Ethereum could surpass $20,000 by late 2025, based on historical trends and the current macroeconomic indicators. This optimism is grounded in Ethereum's historical price cycles, which have seen the asset surge following key upgrades and network milestones. Coupled with the increasing number of active addresses on the Ethereum network and growing institutional interest, Ethereum appears poised for another major price rally.

However, the crypto market remains in a hyper-sensitive state, with traders reacting sharply to any news—whether factual or speculative. Rumors, such as the false assumption that Bybit would purchase ETH to cover losses, have already demonstrated their potential to drive sharp price swings. As more details about the hack emerge and market participants assess potential knock-on effects, significant price movements are likely in the days ahead.

In conclusion, the crypto market is grappling with a grim outlook following the recent Bybit hack, with Bitcoin and Dogecoin struggling while Ethereum gains momentum. Analysts predict a potential Ethereum price rally, but the market remains hyper-sensitive and volatile. As the crypto cycle continues, investors and traders must remain vigilant and cautious, navigating the ever-changing landscape of the crypto market.