Crypto Market Blasts Past $200B Gain After Jane Street Lawsuit Crushes Daily Dumps
Picture this: for months, crypto traders watched helplessly as Bitcoin tanked every day at 10AM, courtesy of alleged Jane Street manipulation. Then came the lawsuit bombshell, and poof—the selling pressure vanished. In just 48 hours, the total market cap rocketed $200 billion higher, with Bitcoin surging 9-10%, Ethereum 14%, Solana 15%, and Polkadot a whopping 35%. Shorts got wrecked to the tune of $500 million, igniting a broad rally that's got everyone buzzing.
The narrative exploded on X, where influencers like Ash Crypto detailed how Jane Street supposedly paired Bitcoin dumps with Algorand trades each morning, suppressing prices and liquidating retail positions relentlessly. As Ash noted in a viral post, the cycle broke instantly post-lawsuit, unleashing one of Bitcoin's strongest days in months. Bull Theory echoed this, pointing to eerie patterns like the firm's ties to the Terra collapse via insider trading claims in a fresh Terraform Labs suit, as reported by the Wall Street Journal. Grand Markets highlighted the momentum shift: no more endless selling for two straight days, allowing buyers to dominate. Even earlier scoops from Uty_bby captured the building tension amid ETF inflows and fear indexes. Web reports from Forbes and CoinDesk confirm Jane Street's troubles—barred in India for index manipulation, now facing U.S. scrutiny over crypto front-running. Analysts directly credit the suit's timing for the surge, with BTC breaking resistance and alts like DOT exploding 35% on freed liquidity. This isn't coincidence; data shows the precise 10AM algo halted, per on-chain whispers and trader forums. Market breadth widened, with BNB and LINK joining the +9-15% club, signaling genuine bull revival over fleeting pumps.
This surge breathes new life into bull market dreams, validating dip-buying strategies that buythedip fans swear by. Retail traders, burned by constant liquidations, now eye higher risk plays with renewed appetite. Institutions might pile in sans manipulation fears, potentially catapulting BTC toward $100K and alts to new highs, reshaping portfolios worldwide.
Jane Street's woes mark the end of an ugly chapter, paving a clearer path for crypto's upward grind. Dip buyers, your time has come—load up confidently as momentum builds. The bull run everyone craved feels tantalizingly real now.
Sources:
- https://x.com/cryptocoinf/status/2026873552213864470
- https://x.com/Grand_markets_/status/2026886078318391659
- https://x.com/AshCrypto/status/2026868891629269156
- https://x.com/Uty_bby/status/2026535517978804425
- https://www.wsj.com/finance/currencies/jane-street-accused-of-insider-trading-that-helped-collapse-terraform-659e6993
- https://www.forbes.com/sites/boazsobrado/2026/02/26/jane-streets-two-continent-problem-barred-in-india-sued-in-crypto
- https://finance.yahoo.com/news/jane-street-speculation-renews-scrutiny-015724564.html
- https://www.coindesk.com/markets/2026/02/24/jane-street-faces-claims-of-insider-trading-that-sped-up-terraform-s-2022-collapse-ft
- https://www.techflowpost.com/en-US/article/30451
- https://www.marketpulse.com/markets/bitcoin-and-altcoins-breakout-jane-street-lawsuit
- https://x.com/BullTheoryio/status/2026805567118094606
- https://x.com/AshCrypto/status/2026868891629269156