Market Analysis Summary: Bitcoin and Altcoins React to Jane Street Lawsuit
Author: Elior Manier
Date: February 25, 2026
Overview
In a surprising turn of events, cryptocurrency traders are rallying against Jane Street, a prominent high-frequency trading firm, following a lawsuit filed by Terraform Labs. The lawsuit alleges insider trading and market manipulation related to the collapse of the LUNA token, which was a significant factor in the broader crypto market downturn in 2022.
Background on Jane Street
Jane Street has been under scrutiny for its trading practices, particularly after being fined $540 million by Indian regulators for derivatives manipulation, which reportedly generated up to $4 billion in profits. The current lawsuit could further implicate the firm in manipulating the digital assets market.
Market Reaction
Following the lawsuit, there has been a notable rebound in cryptocurrency prices, particularly for Bitcoin and Ethereum. Analysts have observed a double-bottom formation in Bitcoin, suggesting a potential price recovery. The correlation between the lawsuit and the market's positive response raises questions about the influence of high-frequency trading on crypto prices.
Technical Analysis
Bitcoin (BTC)
Bitcoin has shown a strong response to its double bottom at $63,000, with a current move of 10%. A clean close above $70,000 is necessary to confirm a breakout. Key support levels include:
- $66,500 (4H MA Session Support)
- $60,000 to $63,000 (Main 2024 support)
Resistance levels to watch are:
- $69,000 - $70,000 (Short-term momentum pivot)
- $75,000 (Key long-term pivot)
Ethereum (ETH)
Ethereum's price has risen above $2,000, indicating a potential long-term rebound. For a sustained upward trend, bulls need to push prices into the $2,100 to $2,300 range. Key support levels include:
- $1,700 to $1,800 (Pre-Bounce 2025 Key Support)
- $1,744 (February 6 lows)
Resistance levels are:
- $2,100 to $2,300 (Key Pivot)
- $2,500 to $2,800 (Pivotal Resistance)
Solana (SOL)
Solana has formed a triple bottom and aims to break past its recent highs of $91.32. Key support levels include:
- $76 to $82 (Major 2022 Pivot)
- $69 (February lows)
Resistance levels to monitor are:
- $91.42 (Intraday resistance)
- $105 (Channel High Resistance)
Conclusion
The lawsuit against Jane Street has sparked renewed interest and activity in the cryptocurrency market, with Bitcoin and Ethereum showing signs of recovery. Traders are advised to monitor key technical levels as the market continues to react to ongoing developments.