In the past 24 hours, BNB, XRP, Solana, Tron, Dogecoin, Cardano, and Hyperliquid edged down over 6% in the past 24 hours. The global crypto market capitalisation fell 4.65% to $2.54 trillion, according to CoinMarketCap.
Also Read | Gold and silver ETFs crash up to 20% as precious metals slump further. What should investors do now?Riya Sehgal, Research Analyst, Delta Exchange, said the sell-off was amplified by $1.6 billion in net outflows from U.S. spot Bitcoin ETFs in January, reflecting institutional risk reduction. Until macro stability returns and ETF inflows resume, crypto markets are likely to remain defensive. Traders expect choppy consolidation or further downside before a sustainable recovery can begin.Vikram Subburaj, CEO, Giottus, said Bitcoin started the week on the back foot and extended the weekend’s risk-off slide to trade around $77,000 on February 2 and this came after a sharp downdraft into the mid-$76,000s on Sunday.
He further said that for customers, the near-term map is simple: $76,000 is the immediate support, and if that fails, analysts are increasingly pointing to a $70,000 downside scenario.
In the past week, Bitcoin and Ethereum went down by 13.59% and 22.99,% respectively. Among the major altcoins, BNB, XRP, Solana, Tron, Dogecoin, and Cardano fell upto 18%, whereas Hyperliquid went up 38.85% in the same period.Akshat Siddhant, Lead quant analyst, Mudrex, said Bitcoin and other major assets remain in a consolidation phase as thin liquidity continues to cap short-term moves and the recent outflows of over $1.4 billion from Bitcoin ETFs added to selling pressure, while the weekend volatility triggered nearly $2.6 billion in liquidations, effectively clearing excessive leverage from the system.
Currently near $76,600, BTC faces resistance at $85,500, with a decisive break opening the path toward $90,000, Siddhant added.
Here is what analyst say
CoinSwitch Markets Desk
BTC fell sharply due to a combination of thin weekend liquidity, heightened geopolitical risk, and excessive leverage in the market. Risk sentiment deteriorated after reports of an explosion at Iran’s Bandar Abbas port, pushing investors away from risk assets.
Nearly $1B in long positions were wiped out in minutes, accelerating the decline in illiquid conditions. The move was further amplified by shallow order books, causing prices to gap lower rather than fall gradually. After this leverage-driven sell-off, BTC is attempting to stabilise in the $75K–$77K zone, where most liquidations have cleared.
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CoinDCX Research Team
Nearly $230 billion has been wiped out from the markets today as it records the 10th largest single-day liquidation event in the history of over $5 billion.
Nischal Shetty, Founder, Wazirx
Bitcoin and other major digital assets saw increased volatility as investors turned cautious and reduced exposure to risk assets. This shift led to liquidations in leveraged positions and kept price action under pressure near key support levels, with momentum remaining muted.
