Trump's State of the Union address releases bullish signals! Bitcoin posts its largest gain in two weeks, with multiple resistance levels still to be broken through
On February 25, during Asian trading hours, Bitcoin rose as much as 3.52% to $66,300, marking the largest intraday increase since February 13. The market rebound was directly driven by U.S. President Trump delivering the State of the Union address to Congress and high-level signals from Iran indicating willingness to engage in diplomatic negotiations, easing geopolitical tensions.
Trump’s State of the Union and Multiple Positive Factors Resonating
In his speech, Trump strongly defended his economic achievements during his term, stating, “Our country is bigger, better, richer, and stronger than ever before.” This speech, combined with the market’s reassessment of the midterm election landscape, served as a political catalyst for the crypto market rebound.
From a macro perspective, the overall recovery of risk assets was not driven by a single factor. Positive signals emerged in the AI sector: Intuit and DocuSign announced collaborations with AI company Anthropic, suggesting tech giants are capable of adapting proactively to AI disruptions rather than being eliminated, which boosted software ETFs (IGV) by 1.7%. Meanwhile, Iran’s Deputy Foreign Minister Majid Takht-Ravanchi stated that Iran is “ready to take any necessary measures to reach an agreement with the U.S.,” easing fears of military strikes. Gold prices fell 1.5%, and oil prices declined 0.5%, reflecting improved risk appetite.
The Nasdaq 100 rose 1.1%, and the S&P 500 increased 0.8%. Bitcoin mining and high-performance computing companies also gained strength, with Bitdeer, Cipher Mining, Hut 8, and TeraWulf rising between 6% and 10%.
Pratik Kala, Head of Research at Apollo Crypto, noted: “Bitcoin’s upward move is likely driven by multiple factors, including short covering and speculative long positions ahead of the State of the Union address.”
Bitcoin Technical Analysis: Key Resistance and Support Levels
(Source: Trading View)
Before this rebound, Bitcoin dropped from $68,654 to a low of $62,500, briefly breaking below $63,000. It has now recovered above $65,000, surpassing the 50% Fibonacci retracement level of the previous decline, but remains below $66,500 and the 100-hour simple moving average (SMA).
Key Technical Levels for Bitcoin
Immediate Resistance: $66,500 (including the hourly bearish trendline at $66,600)
Major Resistance: $67,200 (76.4% Fibonacci retracement) → $68,000 → $68,800 → $69,200–$69,500
Immediate Support: $65,500 → $65,000 (critical support) → $64,200 → $63,500
Major Bottom Support: $62,500; a break below this would significantly increase short-term correction difficulty.
Technical Indicators: Hourly MACD in bullish acceleration; hourly RSI has rebounded above 50.
Frequently Asked Questions
How does the State of the Union address influence short-term price movements of Bitcoin and other crypto assets?
The address itself does not directly alter on-chain supply and demand. However, markets often exhibit short-term behaviors such as “pre-emptive longs” and short covering around the speech. According to Apollo Crypto’s analysis, the recent rally was mainly driven by short covering and speculative longs resonating, rather than fundamental structural changes.
Why is Bitcoin’s rebound highly synchronized with tech stocks?
In recent years, Bitcoin’s correlation with tech stocks—especially AI-related ones—has increased significantly. When positive news alleviates concerns about AI disrupting tech profits, overall risk appetite improves, leading capital to flow into both crypto assets and tech stocks, creating a resonant rebound.
If Bitcoin fails to break through the $66,500 resistance, what are the downside risks?
Technical analysis suggests that if Bitcoin cannot effectively break above $66,500, the first support is at $65,500, followed by a key support at $65,000. Continued weakness could lead to retesting the major bottom support zone between $63,500 and $62,500, with $62,500 being the current cycle’s critical technical bottom.
Related Articles
Bitcoin price drops 50% from historical highs, but Wall Street and corporations are疯狂ly increasing holdings
USDT market capitalization declines for the second consecutive month, potentially putting pressure on market recovery
Data: CryptoQuant: Bitcoin futures market dominated by bears, selling pressure reaches 3-month high
Dogecoin On-Chain Losses Hit Record High: 1,100 Days of "Profit Days" Warning that DOGE May Enter a Two-Year Bottoming Cycle
SOL Under Pressure: Is a Short Squeeze Brewing in Solana?
PUMP funds have flowed out nearly $100 million in the past 24 hours, with zero fees and short sellers dominating. Key support levels are under pressure.