Bitcoin pumps, Solana dumps, scams rise

February 17, 2025

Reading time: 5 minutes

Bitcoin’s next move? Short squeeze hopes build as bulls target $102K

Key points:

  • Bitcoin remains rangebound between $90K and $105K, frustrating traders seeking a clear breakout.

  • Analysts see a potential short squeeze pushing BTC toward $102K, but bearish indicators suggest risks of dipping below $90K.

News - Bitcoin continues to test traders’ patience, hovering within its three-month trading range. Despite multiple attempts to establish $100,000 as support, BTC has remained stuck, with analysts debating its next major move.

Short-term traders are closely watching liquidity levels, with many expecting a short squeeze—a rapid price surge triggered by forced liquidations of bearish positions. Crypto analyst CJ targets $102,500 to $105,000 as a key resistance zone, with upside potential toward $125,000 if broken. However, others caution that BTC could dip toward $88,000 to $91,000 before finding support.

The Federal Reserve’s upcoming meeting minutes could also impact BTC’s price action. With inflation proving stubborn, the market has priced in a 97.5% probability that the Fed will maintain interest rates in March. Higher rates have historically put pressure on risk assets like Bitcoin.

Bearish signs or a bullish setup?

  • The Inter-Exchange Flow Pulse (IFP) indicator, which tracks BTC movements between spot and derivatives exchanges, has flipped bearish for the first time in months—suggesting that a downturn may be forming.

  • Meanwhile, Bitcoin demand remains strong, with a surge in exchange outflows typically associated with institutional accumulation.

What’s next?

  • If BTC clears $102K, traders expect a push toward $125K in the coming months.

  • A failure to hold above $90K could lead to a test of the $80K zone before a recovery.

  • Institutional accumulation remains a wild card, as large holders continue moving Bitcoin off exchanges, signaling long-term confidence.

While traders are betting on volatility, Bitcoin’s price action in the coming weeks will be crucial in determining whether it’s gearing up for a bullish breakout—or a deeper correction.

Cardano’s $0.80 Comeback: Can ADA sustain its rally or is a reversal coming?

Key points:

  • Cardano (ADA) reclaimed $0.80 after a 15% rebound but faces strong resistance amid weakening network activity.

  • Bullish sentiment builds, with ADA’s long-to-short ratio at a one-month high, but technical indicators remain mixed.

News - Cardano’s price has rebounded to $0.80 after falling to $0.68 earlier this month, recovering some of its recent losses. However, despite the short-term bullish momentum, ADA faces key resistance levels that could limit further upside.

The rally comes as ADA’s long-to-short ratio hit its highest in over a month, indicating growing bullish bets. Meanwhile, funding rates flipped positive, suggesting traders are increasingly betting on price gains.

Despite these positive signs, on-chain activity remains a concern. Daily Active Addresses (DAA) divergence remains negative, signaling a decline in network engagement even as the price rises—often a bearish indicator.

Technical analysis: Bulls vs. bears - While ADA has held support at $0.68 and reclaimed $0.80, it still trades below the Ichimoku Cloud, a key resistance indicator.

The Chaikin Money Flow (CMF) dropped below zero, reflecting increased selling pressure, while the Moving Average Convergence Divergence (MACD) hovers near neutral territory, suggesting fading bullish momentum.

However, if bulls maintain control, ADA could push toward $0.90 or even retest the $1 mark. A break below $0.75, on the other hand, could trigger a deeper pullback to $0.72 or $0.66.

What’s next? - ADA’s uptrend depends on breaking key resistance levels and improving network participation. If buying pressure holds, Cardano could extend its rally, but failure to reclaim higher ground may result in another correction.

Solana drops 6.8%: Scam concerns and weakening onchain activity fuel bearish reversal

Key points:

  • Solana dropped 6.8% to $180.80, underperforming the broader market amid increasing concerns over onchain scams.

  • Solana’s DeFi activity and DEX trading volumes continue to decline, raising questions about sustained user interest.

News - Solana (SOL) saw a 6.8% drop in the past 24 hours, making it one of the worst-performing major cryptocurrencies as it fell to $180.80 on February 17. The downturn comes as broader market losses remain limited to 1.72%, signaling Solana’s underperformance relative to its peers.

One key factor behind the decline is Solana’s growing association with high-profile rug-pull scams. A Bubblemaps investigation uncovered that wallets linked to the LIBRA and MELANIA scams were also involved in other questionable token launches on the Solana network. This has raised concerns about the security and credibility of projects built on Solana.

Additionally, onchain activity has weakened significantly. Dune Analytics data shows that daily transactions on Solana have plummeted from a peak of 71,738 on January 23 to just 9,303 on February 17. At the same time, Solana’s DEX trading volume has fallen sharply, reflecting reduced engagement from traders and investors.

Technical analysis: Bearish signals strengthen - Solana’s open interest (OI) in futures markets has increased from $5.31 billion to $5.88 billion, but its funding rate turned negative, dropping to -0.27%. This suggests that more traders are aggressively shorting SOL, betting on further downside.

The price action is also forming a Head-and-Shoulders (H&S) pattern, a classic bearish reversal structure. If SOL fails to hold the $180.50 support level, it could break lower toward the H&S target of $110, representing a potential 40% decline.

However, if buying momentum returns, SOL could invalidate this pattern and rebound toward $215, a key resistance level.

What’s next? - Solana remains under pressure amid fading DeFi engagement, rug-pull concerns, and negative funding rates. The coming days will be crucial for determining if SOL can hold key support or continue its downward trajectory. If market sentiment does not improve, SOL may see deeper corrections before finding stability.

Hacked! Scammers use Saudi Crown Prince’s name to promote fake memecoin

Key points:

  • Scammers hacked the Saudi Law Conference’s X account to impersonate Crown Prince Mohammed bin Salman and promote fraudulent cryptocurrencies.

  • The fake “Official Saudi Arabia Memecoin” (KSA) lost over 90% of its value shortly after launch, following similar high-profile memecoin scams.

News - Scammers impersonating Saudi Arabia’s Crown Prince Mohammed bin Salman have launched a fraudulent memecoin, capitalizing on the retail frenzy around celebrity-backed tokens. The fake cryptocurrency, dubbed the “Official Saudi Arabia Memecoin” (KSA), was promoted via the compromised X (formerly Twitter) account of the Saudi Law Conference.

According to reports, the scam was first posted on February 17 through an X handle named “SaudiLawConf”, falsely claiming official backing. The post included contract addresses for the tokens, misleading investors into thinking the asset had government approval.

Shortly after the fraudulent promotion, the Saudi Law Conference confirmed its account was hacked, stating:

“Any content currently being posted from the account that does not reflect our views or official directions should be disregarded.”

The fraudulent token followed the pattern of previous political memecoin scams, such as the LIBRA token associated with Argentina’s President Javier Milei, which lost 94% of its value after insider wallets drained $107 million in liquidity.

Memecoin scams on the rise - Despite initial investor enthusiasm, the KSA token failed to gain traction, reaching only $7,489 in market capitalization before plummeting. This event mirrors past rug-pulls where scammers launched politically-themed tokens only to cash out once prices surged.

Notably, Donald Trump’s Official TRUMP token and Melania Trump’s MELANIA coin have also severely underperformed, dropping 76% and 90% from their all-time highs, respectively.

Cybercriminals have increasingly hijacked high-profile accounts to promote scam memecoins. Other victims include:

  • Former Brazilian President Jair Bolsonaro, whose account was hacked to promote a fraudulent token.

  • Former Malaysian Prime Minister Mahathir Mohamad, whose social media was also compromised for crypto scams.

Investor warnings and market impact - Crypto security experts are warning investors to exercise greater caution before investing in memecoins tied to political figures or government entities. Blockchain expert Anndy Lian advised:

“Transparency is key; if they won’t show their faces, they might just be looking to run with your money.”

The Saudi Law Conference continues to work on regaining full control of its account, while the scam highlights the growing need for security awareness in the crypto space.

Did you know?

  • In March 2022, the Ronin Network, which supports the popular blockchain game Axie Infinity, experienced a significant security breach. Hackers stole approximately $625 million worth of Ethereum and USDC, marking one of the largest crypto heists to date.

  • In 2023, losses from cryptocurrency-related frauds increased by 45% compared to the previous year, totaling more than $5.6 billion. Scammers exploited the speed and irreversibility of digital asset transactions, leading to significant financial losses for investors.

  • The SEC sued Binance and founder Changpeng Zhao in June 2023, alleging inflated trading volumes, fund diversion, and investor deception. As of February 2025, the case is on hold for 60 days as a new SEC task force reviews crypto regulations.

Top 3 coins of the day

Ronin (RON)

Key points:

  • At press time, RON was trading at $1.37, reflecting a 7.53% increase over the last 24 hours.

  • The price rebounded above the middle Bollinger Band, while the MACD confirmed a bullish crossover, signaling renewed buying momentum.

What you should know:

RON recorded a notable recovery, surging past $1.37 after testing lows around $1.27. The recent uptick was supported by increased trading volume, reflecting heightened market participation. The Bollinger Bands signaled widening volatility, with the price currently testing mid-range resistance. If momentum sustains, RON could challenge the upper Bollinger Band near $1.53. The MACD indicator flashed a bullish crossover, suggesting that buyers are regaining control. However, for continued upside, RON must hold above $1.27, which now serves as a key support zone. A rejection at resistance may push prices lower, but if bullish sentiment persists, further gains toward $1.50 - $1.55 could be on the horizon.

Cardano (ADA)

Key points:

  • At press time, ADA was trading at $0.81, reflecting a 5.44% increase over the last 24 hours.

  • The Parabolic SAR suggested a potential bullish reversal, while the RSI at 47.86 signaled neutral momentum.

What you should know:

ADA saw a significant recovery, climbing 5.44% in the last 24 hours, with increasing trading volume supporting the uptrend. The Parabolic SAR dots shifted below the price candles, indicating that bullish momentum could be gaining strength after a prolonged downtrend. The RSI stood at 47.86, positioning the asset in neutral territory. This suggests that ADA has room for further upside before approaching overbought conditions. Additionally, volume levels have been rising, reinforcing the buying pressure behind ADA’s price movement. Looking ahead, $0.77 serves as a key support level, while $0.90 is the next major resistance zone to watch. A breakout above this level could signal extended gains, whereas failure to maintain upward momentum may lead to a retest of support.

Jupiter (JUP)

Key points:

  • At press time, JUP was trading at $0.82, reflecting a 5.49% decline over the last 24 hours.

  • Bollinger Bands indicated increased volatility, while DMI suggested a weakening bullish momentum as selling pressure dominated.

What you should know:

JUP witnessed a 5.49% drop, suggesting continued price consolidation within the mid-range of its Bollinger Bands. The asset struggled to sustain higher levels, facing rejection near the upper Bollinger Band before reversing downward. The Directional Movement Index (DMI) highlighted that the negative directional index (red) crossed above the positive directional index (green), signaling a shift toward bearish control. If JUP fails to hold its current support level, further downside movement could occur, potentially pushing prices toward the lower Bollinger Band near $0.80. However, if bulls regain momentum, a move above the midline of the Bollinger Bands could reignite buying interest.

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