The first quarter of 2025 has been challenging for the global cryptocurrency market, with significant price declines observed across major coins.
This review focuses on the top cryptocurrencies by market capitalization at the start of the year, including Bitcoin (BTC), Ethereum (ETH), XRP, Binance Coin (BNB), Solana (SOL), Dogecoin (DOGE), Cardano (ADA), and Tron (TRX).
The analysis is based on historical price data and market events, providing a comprehensive overview of price trends and influencing factors for the first three months of 2025.
Price Performance Analysis
To quantify the performance, we compare the prices at the beginning of the year (January 1, 2025) and the end of the first quarter (March 31, 2025), calculating the percentage difference for each coin.
The table below summarizes the data:
| Coin | January 1 Price | March 31 Price | Percentage Change |
| BTC | $94,419.76 | $82,548.91 | -12.57% |
| ETH | $3,353.50 | $1,823.48 | -45.63% |
| XRP | $2.3223 | $2.0899 | -10.01% |
| BNB | $706.51 | $605.07 | -14.35% |
| SOL | $193.87 | $124.69 | -35.67% |
| DOGE | $0.3243 | $0.1667 | -48.61% |
| ADA | $0.9176 | $0.6614 | -27.91% |
| TRX | $0.2553 | $0.2387 | -6.47% |
This table highlights the extent of the declines, with Dogecoin experiencing the steepest decline at 48.61%, followed closely by Ethereum at 45.63%. Bitcoin, while also down, had a relatively milder decline at 12.57%, suggesting greater resilience compared to altcoins.
Read also: All you should know about SEC’s new rules for crypto investment in Nigeria
Market context and factors influencing the crypto prices
The observed price declines align with predictions made by market analysts, such as VanEck, which forecasted a 30% correction for Bitcoin and up to 60% for altcoins in Q1 2025. This correction was influenced by several factors, including regulatory uncertainties and macroeconomic conditions.
One significant event was the inauguration of President Trump on January 20, 2025, which coincided with increased market volatility. As observed by Cointelegraph, Bitcoin’s 12% drop and Ethereum’s 45% crash marked Ethereum’s worst quarter since 2018.
Additionally, Coinbase Institutional’s Q1 2025 guide mentioned Trump’s executive order supporting digital assets, which may have initially caused market adjustments. Bitcoin rallied as high as $95K on Sunday after the President’s announcement via social media before cooling to $92K at the beginning of the next week.
Ethereum’s significant decline may also be attributed to specific ecosystem challenges, such as a 95% drop in L2 blob fees since mid-March, raising concerns about its post-Dencun revenue model.
Dogecoin’s 48.61% drop reflects its high volatility, typical for meme coins, driven by shifts in retail investor sentiment. Solana’s 35.67% decline could be linked to competition in the layer-1 space, while Cardano’s 27.91% drop may reflect slower ecosystem development compared to rivals like Solana.
Tron, with the smallest decline at 6.47%, showed relative resilience, possibly due to its strong DeFi and stablecoin ecosystem, which may have insulated it from broader market pressures. XRP’s 10.01% drop was moderate, potentially influenced by ongoing U.S. regulatory scrutiny, though less severe than other altcoins.
An unexpected detail is the extent of altcoin volatility, with Dogecoin and Ethereum experiencing declines close to or exceeding the predicted 60% for altcoins. This suggests that while Bitcoin maintained a degree of stability, altcoins were particularly vulnerable to market corrections, possibly due to their dependence on speculative trading and ecosystem-specific challenges.
Q1 2025 was characterized by a market correction, with Bitcoin declining 12.57% and altcoins facing sharper drops, up to 48.61% for Dogecoin. The declines were likely driven by regulatory developments, post-inauguration market adjustments, and broader investor sentiment shifts.
This period underscores the volatile nature of cryptocurrencies, particularly altcoins, and highlights the importance of monitoring regulatory and macroeconomic factors for future trends.
Also read: Visa woos Apple with $100 million to replace Mastercard as Apple Card partner
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