Cryptocurrency News Today: Market Updates & Analysis podcast.
# Crypto Willy's Weekly Market Breakdown
Hey everyone, Crypto Willy here, and man, what a week it's been in the crypto world. If you've been holding your breath since last weekend, you can finally exhale—though maybe just a little bit.
Let's talk about what went down on February 1st, because it was absolutely brutal. According to reports from Binance and Tapbit, Bitcoin experienced its most violent crash of the year, dropping 6.35% in a single day and touching lows around $75,687—the lowest we've seen since April 2025. That's a far cry from the nearly $125,000 all-time high Bitcoin hit back in October. The real damage came from cascading liquidations: a staggering $2.2 billion in futures got wiped out in 24 hours. Ethereum led the carnage with roughly $961 million in liquidations, while Bitcoin accounted for about $679 million. Solana wasn't spared either, dropping over 11%, with DOGE, SUI, BNB, and ADA all taking double-digit hits. The Fear & Greed Index on CoinGecko tanked to around 23, deep in "extreme fear" territory.
But here's the thing—and this is where it gets interesting—stabilization signals are actually starting to emerge. As of February 3rd, Bitcoin has bounced back to consolidate in the $78,000 to $80,000 range, holding above that critical $75,000 psychological support level. Bitcoin still dominates about 60% of the total crypto market, which now sits around $2.66 trillion. That's a $111 billion evaporation in just 24 hours, but we're seeing signs of the bleeding stopping.
Ethereum's situation is fascinating because it's sitting at a real crossroads. According to analysis from Binance, ETH needs to reclaim the $3,000 mark—both psychologically and structurally. If it breaks below the critical support at $2,690, things could get ugly with potential declines toward $2,120. On the flip side, a bullish scenario sees Ethereum targeting the $3,200 to $3,400 range this month, with technical analysts at MEXC noting that if Ethereum breaks above the $3,134 resistance level, it could fire up toward the $3,400 to $3,500 zone.
What's really telling is the institutional behavior. Despite a record influx of crypto capital in 2025, we're seeing a cautious pause in early 2026. Over $1 billion has been withdrawn from U.S. spot Bitcoin ETFs in January alone, with notable outflows from Ethereum funds too. Traders are rotating into stablecoins to preserve capital while waiting for macroeconomic clarity and regulatory direction.
The broader narrative here is about forced deleveraging meeting macro caution. The Asia-U.S. session overlap on February 1st created a perfect storm—thin liquidity got hit with serious selling pressure, triggering algorithmic cascades. But long-term holders and institutional players are reportedly using this dip as a buying opportunity, which is classic behavior during capitulation events.
February historically treats Ethereum pretty well, with median gains around 15% since 2016, though this year is shaping up differently. We're watching support levels at $2,690 and resistance near $3,340 and $3,520.
Thanks for tuning in this week, everyone! Make sure you come back next week for more deep dives into what's moving the markets. This has been a Quiet Please production—head over to QuietPlease.AI to catch all our latest content. Stay safe out there, hodlers.
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