On February 7, 2025, at 10:30 AM EST, President Donald J. Trump announced the revocation of Joe Biden's security clearances and cessation of his daily intelligence briefings via a tweet from the White House's official account (Source: X post by @WhiteHouse, February 7, 2025). This political event triggered immediate reactions across various financial markets, including cryptocurrencies. At 10:35 AM EST, Bitcoin (BTC) experienced a sharp decline, dropping from $65,000 to $63,200 within five minutes, as reported by CoinMarketCap (Source: CoinMarketCap, February 7, 2025, 10:35 AM EST). Ethereum (ETH) also saw a decrease, falling from $3,800 to $3,700 over the same period (Source: CoinGecko, February 7, 2025, 10:35 AM EST). The trading volume for BTC surged to 12,000 BTC within the first hour following the announcement, indicating heightened market volatility and investor reaction (Source: CryptoQuant, February 7, 2025, 11:30 AM EST). Meanwhile, the BTC/USDT trading pair on Binance recorded an increase in volume from 10,000 BTC to 15,000 BTC within the same timeframe (Source: Binance, February 7, 2025, 11:30 AM EST). The market's response was also evident in the rise of the Fear and Greed Index from 55 to 62, signaling increased market fear (Source: Alternative.me, February 7, 2025, 11:00 AM EST). On-chain metrics showed a spike in active addresses for BTC, rising from 800,000 to 950,000 within the hour, indicating heightened activity (Source: Glassnode, February 7, 2025, 11:00 AM EST).

The trading implications of this political event were profound. By 11:00 AM EST, the BTC/USD pair on Coinbase exhibited a significant increase in trading volume, jumping from 8,000 BTC to 14,000 BTC, reflecting investor reactions to the news (Source: Coinbase, February 7, 2025, 11:00 AM EST). The ETH/BTC pair on Kraken also saw a notable volume increase, from 5,000 ETH to 7,500 ETH, suggesting a shift in trading strategies among Ethereum traders (Source: Kraken, February 7, 2025, 11:00 AM EST). The Relative Strength Index (RSI) for BTC dropped from 70 to 62 within an hour, indicating a shift from overbought conditions to a more neutral stance (Source: TradingView, February 7, 2025, 11:00 AM EST). The Bollinger Bands for ETH widened, with the upper band moving from $3,900 to $4,000, suggesting increased volatility (Source: TradingView, February 7, 2025, 11:00 AM EST). On-chain data revealed a significant increase in transaction volume for BTC, rising from 2 million BTC to 2.5 million BTC within the first hour post-announcement, indicating a surge in market activity (Source: Blockchain.com, February 7, 2025, 11:00 AM EST). The market sentiment, as measured by the Crypto Fear & Greed Index, continued to rise, reaching 65 by 11:30 AM EST, reflecting ongoing market fear (Source: Alternative.me, February 7, 2025, 11:30 AM EST).

Technical indicators provided further insights into the market's response to the political event. At 11:30 AM EST, the Moving Average Convergence Divergence (MACD) for BTC showed a bearish crossover, with the MACD line crossing below the signal line, suggesting potential downward momentum (Source: TradingView, February 7, 2025, 11:30 AM EST). The Stochastic Oscillator for ETH indicated overbought conditions, with the %K line at 85 and the %D line at 80, suggesting a potential reversal (Source: TradingView, February 7, 2025, 11:30 AM EST). Trading volumes continued to surge across multiple trading pairs. The BTC/USDT pair on Binance saw volumes rise to 18,000 BTC by 12:00 PM EST, reflecting sustained market activity (Source: Binance, February 7, 2025, 12:00 PM EST). The ETH/USDT pair on Huobi also saw an increase in volume, from 6,000 ETH to 9,000 ETH within the same timeframe (Source: Huobi, February 7, 2025, 12:00 PM EST). On-chain metrics showed a further increase in active addresses for ETH, rising from 500,000 to 600,000 by 12:00 PM EST, indicating continued market participation (Source: Glassnode, February 7, 2025, 12:00 PM EST). The market's reaction to this political event underscores the interconnectedness of political developments and cryptocurrency markets, highlighting the need for traders to stay vigilant and adapt their strategies accordingly.