Current Cryptocurrency News for Saturday, February 7, 2026: Key Events in the Global Crypto Market, Institutional Trends, and Top 10 Most Popular Cryptocurrencies for Investors.
The global cryptocurrency market concludes the first week of February with a sharp decline. Bitcoin has dropped to levels not seen since 2024, and other leading crypto-assets have experienced significant losses. The total market capitalization has fallen by nearly $2 trillion compared to the peak in October 2025, reflecting a mass sell-off amidst deteriorating investor sentiment. Meanwhile, regulators worldwide are increasing scrutiny on the industry, adding further uncertainty to the market.
Market Overview
After a tumultuous rise last year, the crypto market is facing a large-scale correction. At the beginning of February, a "crypto winter" is observed—a cooling period characterized by declining or stagnant cryptocurrency prices. Investors are taking profits and moving into safer assets, leading to reduced trading volumes and liquidity. Below are the primary factors contributing to the current market downturn:
- Macroeconomic Pressure: Heightened uncertainty in traditional markets. The sell-off of tech stocks and volatility in gold and silver prices have diminished the appetite for risk assets, including cryptocurrencies.
- Tight Monetary Policy: Expectations of a more stringent U.S. Federal Reserve policy. The nomination of a new Fed chair known for a "hawkish" reputation has raised concerns about liquidity reduction in the economy, which negatively impacts crypto assets.
- Institutional Investment Outflows: Large funds and ETFs that actively purchased Bitcoin in 2025 have begun to sell it in 2026. Monthly outflows from Bitcoin ETFs are in the billions of dollars, signaling reduced interest from traditional investors.
- Low Liquidity and Declining Hype: After reaching price peaks last year, the market has entered a cooling phase. Reduced trading volumes and the disappearance of the FOMO effect (fear of missing out) have caused any sales to exert more pressure on prices.
- Regulatory Uncertainty: Increased oversight of the industry in many countries (from new bills in the U.S. to bans in China) has caused some market participants to act cautiously and withdraw capital, which also affects prices.
Bitcoin (BTC)
Bitcoin continues its decline, setting the tone for the entire crypto market. As of the morning of February 7, its price hovers around $63,000, marking a year-long low. Since the beginning of 2026, the first cryptocurrency has decreased by approximately 30%. In comparison, Bitcoin reached an all-time high of over $127,000 in October 2025, before consolidating around $90,000 at the end of the year. Breaking below the psychologically significant $70,000 mark triggered a wave of liquidations: in recent days, margin positions worth around $1 billion have been forcibly closed, increasing the price pressure.
Experts note that the current decline is largely driven by external factors. Bitcoin, previously viewed by some investors as "digital gold" and a hedge against inflation, is now trading more like a risk asset, correlating with the decline in stock indices. Further dampening sentiment was the appointment of Kevin Warsh as the new Fed chairman, known for his support of tightening monetary policy. Expectations for a reduction in the Fed's balance sheet have led some capital to exit Bitcoin. Interestingly, amidst the current dynamics, the price of BTC has effectively returned to levels preceding Donald Trump's victory in the U.S. elections, despite his proclaimed support for cryptocurrencies.
Ethereum (ETH)
The second-largest cryptocurrency, Ethereum, is also experiencing a significant downturn. The price of ETH has dipped below the psychological threshold of $2000, trading around $1850, losing roughly 19% over the past week. Year-to-date, Ether has fallen by nearly 40%. Back in December 2025, Ethereum was holding above $3000, but overall negative sentiment and outflows from risk assets have also affected this leading altcoin.
The fundamental factors for Ethereum remain unchanged: the network continues to serve as a foundational platform for decentralized finance (DeFi) and smart contracts, having successfully transitioned to a Proof-of-Stake algorithm. However, in the context of an overall correction, even technically strong projects are facing losses. Price pressure on ETH is also stemming from competition from alternative blockchains and Layer-2 solutions. Many investors have reduced their positions in Ethereum, awaiting market stabilization and clearer signals of renewed demand for risk.
Altcoin Market: XRP, BNB, and Others
Altcoins—other major cryptocurrencies besides Bitcoin and Ethereum—have also been under significant pressure in recent days. The Bitcoin dominance index has risen as investors prefer the most liquid and time-tested BTC during periods of turbulence, moving away from riskier coins. However, nearly all top assets have suffered double-digit percentage losses over the week:
BNB, the native token of the Binance exchange, has dropped to approximately $660 (over 15% down for the week). The BNB price is influenced by both the overall market decline and ongoing strict regulatory scrutiny of crypto exchanges. Last year, BNB reached historic highs amidst the growth of the Binance Smart Chain ecosystem, but it has now retraced to levels seen in late 2024.
XRP (Ripple) has fallen to around $1.30, losing a substantial part of its value compared to local peaks last year (for comparison, XRP rose above $2 in 2025 after Ripple's partial victory in its lawsuit against the SEC). Despite legal clarity in the U.S. and XRP being included among the reserve cryptocurrencies supported by the Trump administration, the current market downturn has not spared the token. Nevertheless, XRP remains one of the largest cryptocurrencies used for cross-border payments, maintaining high trading volumes.
Platform tokens Cardano (ADA) and Solana (SOL), among the most popular altcoins, have also declined in price. SOL has decreased by approximately 15–20% over the week, dropping to the $90–100 range, despite ongoing technical developments in the Solana network. ADA is trading around $0.30, nearly 15% lower than the level from a week ago. Earlier, Cardano attracted investor interest with expectations of launching ETFs on the underlying assets of the network and protocol updates, but amid the current "risk-off" sentiment, these news items have fallen to the background.
Meme cryptocurrencies have not been spared either. The popular coin Dogecoin (DOGE), which is supported by community enthusiasm and periodically by Elon Musk, has slipped below $0.10, reflecting the overall decline in speculative interest. Even in the absence of negative news, DOGE and similar tokens are losing value in lockstep with the market. At the same time, some coins related to gaming and metaverse projects are demonstrating relative resilience; however, the altcoin segment as a whole is showing a decline in capitalization.
Amid falling prices, investors have stepped up their shift towards stable digital currencies—stablecoins. The leading stablecoin Tether (USDT) maintains a peg to the dollar at around ~$1, showing increasing transaction volumes as many move funds into less volatile forms. The same goes for USD Coin (USDC) and other stablecoins, the demand for which has surged during this period of turbulence. However, regulatory risks surrounding stablecoins are also rising (for example, China has implemented new restrictions, as detailed below), adding yet another layer of uncertainty to the market.
Regulation: U.S. and China
The regulatory environment at the start of 2026 is shaping mixed trends for the crypto industry. On one hand, in the U.S., the new administration declares support for digital assets. President Donald Trump, who returned to the White House in 2025, called the country the "crypto capital of the world" and initiated the creation of a national strategic reserve in cryptocurrency. This reserve comprises the five largest coins at that time: Bitcoin, Ethereum, XRP, Cardano, and Solana. Additionally, the GENIUS Act has been passed, establishing rules for the industry, including stablecoin regulation and consumer protection. In January 2026, bills concerning the market structure of cryptocurrencies are advancing in Congress, aimed at determining which agencies will oversee digital assets. The White House is actively mediating between proponents of strict regulations and industry groups, seeking a compromise on stablecoin regulation by the end of February.
On the other hand, restrictions are tightening in several countries. In China, authorities have reaffirmed their hardline stance: the People's Bank of China issued a notice on February 6 prohibiting the issuance of yuan-pegged stablecoins without official approval. Essentially, Beijing is curbing any attempts by local companies to create or distribute yuan-pegged digital tokens abroad. Chinese regulators also reminded that all operations with virtual currencies within the country are considered illegal financial activities. These measures highlight China's readiness to fully control the money flow and prevent circumvention of currency restrictions through crypto tools. Analysts note that such news regarding bans increases investor caution and may temporarily affect the demand for cryptocurrencies in the Asian region.
Meanwhile, other jurisdictions are striving to find a balance. In the European Union, the regulatory framework law MiCA (Markets in Crypto-Assets) is beginning to operate in full, aimed at ensuring clear rules for the crypto industry across the EU. Many market participants hope that transparent requirements from regulators will eventually attract more institutional investments; however, in the short term, heightened oversight often accompanies caution from major players.
Top 10 Most Popular Cryptocurrencies
Despite the current price fluctuations, leading cryptocurrencies remain in focus for investors. Below is a list of the top 10 most popular and significant cryptocurrencies to date, along with their characteristics and role in the market:
- Bitcoin (BTC) – The first and largest cryptocurrency, serving as a digital equivalent of gold. It has the highest market capitalization and recognition. Used as a store of value and hedge, although it has recently been behaving like a risk asset. Bitcoin accounts for about 40% of the entire market.
- Ethereum (ETH) – The largest smart contract platform. Ethereum is the backbone of the DeFi, NFT, and many blockchain applications. It has the second-largest market after Bitcoin. Ethereum's transition to the Proof-of-Stake mechanism has enhanced network scalability and attracted additional interest from institutional investors.
- Binance Coin (BNB) – The token of the largest cryptocurrency exchange Binance and a key asset of its blockchain (BSC). BNB is used for fee payments, participation in new projects, and other services within the ecosystem. The coin has risen due to Binance's market dominance, although it faces regulatory risks due to scrutiny of the exchange.
- Ripple (XRP) – A cryptocurrency focused on fast and inexpensive international payments. Issued by Ripple and integrated into banking systems for cross-border transfers. XRP has gained traction among financial institutions and remains in the top five despite past legal disputes with regulators. It is characterized by high transaction speeds and low fees.
- Solana (SOL) – A high-performance blockchain positioning itself as a platform for decentralized applications and Web3. Solana attracts developers with its high throughput and low fees. In 2021-2022, SOL showed explosive growth, entering the ranks of the largest crypto assets. Despite recent corrections, Solana remains one of the main competitors to Ethereum in the smart contract space.
- Cardano (ADA) – A blockchain platform developed with an emphasis on scientific approach and code reliability. The project progresses more slowly than some of its competitors, rolling out new features in phases, but has a large community. ADA – the internal token of Cardano – is used for staking and conducting transactions within the network. Cardano regularly makes headlines due to network updates and initiatives for launching ETFs on associated assets.
- Dogecoin (DOGE) – The most well-known "meme coin," originally created as a joke but has since gained immense popularity. DOGE is characterized by high issuance and a low price per coin but attracts attention due to community support and endorsements from public figures. It is used as an online tipping medium and for micropayments, remaining volatile and heavily influenced by social media sentiment.
- TRON (TRX) – A blockchain platform focusing on entertainment and the content industry. TRON offers high transaction speeds and zero fees, attracting applications for content sharing and decentralized gaming. The TRX token is actively used in the Asian region. The TRON network is also known for issuing a significant number of stablecoins (including USDT), providing it with a steady transaction volume.
- Polkadot (DOT) – A project aimed at uniting various blockchains into a single ecosystem. Polkadot implements the concept of "parachains," allowing different networks to interact with each other. The DOT token serves for staking and network governance. Polkadot has gained widespread recognition thanks to its co-founder (Gavin Wood, a former Ethereum developer) and its vision of blockchain interoperability, securing a spot in the top 10 by market capitalization.
- Polygon (MATIC) – A Layer-2 solution for scaling Ethereum, formerly known as Matic Network. Polygon provides infrastructure for faster and cheaper transactions on top of the Ethereum network, attracting numerous DeFi and NFT projects. The MATIC token is used for fee payments and staking within the Polygon network. The project has become one of the most successful among Layer-2 solutions, ensuring compatibility with the Ethereum ecosystem while significantly reducing the load on the main network.
Investor Sentiment and Outlook
The current market phase resembles previous downturn cycles, but industry participants strive to look ahead. Seasoned investors note that every "crypto winter" has previously ended with a new growth phase. Analysts point out that fundamental technological advancements—the development of networks, adoption of cryptocurrencies by businesses and governments—remain intact, despite falling prices. Many projects continue active development, while traditional financial sector companies explore opportunities to enter the crypto market, awaiting clarity in regulation.
Sentiment in the near term remains cautious. Volatility may persist in the coming quarters, especially if global central banks maintain a hawkish stance and investors seek to avoid risk. Nonetheless, the presence of major players in the market and the experiences of past downturns instill a degree of optimism. Some experts speculate that the current decline may last a few more months before the market finds a "bottom" and transitions to recovery. Key triggers for a reversal could include easing monetary policy, successful implementation of regulatory reforms (which eliminate legal uncertainties), and the launch of new products—such as the approval of new ETFs or technological breakthroughs in the blockchain space.
For long-term investors, the current situation presents an opportunity to reassess strategies and shuffle portfolios if necessary. Many are focusing on the largest cryptocurrencies with established reputations (like BTC and ETH), anticipating a reduction in turbulence. At the same time, some view the downturn as an opportunity to enter the market at lower prices, hoping for future growth. Overall, the industry enters 2026 with a cautious outlook but a persistent conviction in the long-term potential of cryptocurrencies as an integral part of the global financial landscape.
