Current Cryptocurrency News for Thursday, 12 February 2026: Key Market Events, Reaction to US Macroeconomic Data, Cautious Price Consolidation, Institutional Initiatives, and Review of the Top 10 Most Popular Crypto Assets.
By the morning of 12 February 2026, the global cryptocurrency market is attempting to stabilise following a renewed wave of volatility. The previous day, the release of inflation data in the US triggered a short-term intensification of sell-offs; however, some losses were subsequently recovered. Bitcoin is trading around $68,000–70,000, remaining above the extreme lows of last week due to the emergence of buyers at lower price levels. Ethereum (ETH) is holding steady near the $2,000 mark after recent fluctuations, bouncing back from a local dip (~$1,750 in early February). The total capitalisation of digital assets is estimated at approximately $2.4 trillion – almost $2 trillion below the historical peak of October 2025, highlighting the scale of the correction seen in recent weeks. Overall market sentiment remains cautious: the "fear and greed" index for cryptocurrencies is still in the "extreme fear" zone (below 20 points out of 100), signalling prevailing investor caution.
The rapid market decline at the beginning of February was driven by a confluence of negative factors - from stringent signals from the US Federal Reserve to mass liquidations on derivatives exchanges. Additional pressure came from news of potential tightening of monetary policy: the nomination of Kevin Warsh, a known advocate for strict monetary policy, to head the Fed heightened investor concerns. As a result, the combination of these triggers led to panic selling on 6 February when Bitcoin instantaneously plummeted to about $60,000, accompanied by a cascade of margin liquidations. In the following days, the market attempted a technical rebound. A flow of capital from some investors looking to take advantage of the dips supported a partial recovery in quotations. Bitcoin managed to rise above the psychologically significant level of $70,000, although risk appetite remains weak. Market participants are currently focused on external signals and analysing macroeconomic data: yesterday's inflation statistics from the US indicated that price pressures remain elevated, with the release of the labour market report expected tomorrow. These indicators will largely set the tone for the future dynamics of the cryptocurrency market.
Market Overview: Cautious Consolidation after Macroeconomic Turmoil
Even at the end of 2025, the cryptocurrency market was hitting historical highs; however, with the onset of 2026, the trend sharply reversed downwards. The rapid tightening of monetary policy in major economies and other external factors triggered a global decline in risk appetite. The massive January 2026 sell-off resulted in a dramatic drop in the value of crypto assets: during the first few weeks of the year, total market capitalisation fell by tens of percent before finding a local bottom. Compared to the peak levels of autumn, the total capitalisation of cryptocurrencies has decreased by approximately 40–50%. Many investors, in a state of panic, withdrew funds from the most volatile assets, switching to stablecoins or temporarily stepping away from the market to weather the storm outside the crypto space.
In the second week of February, timid attempts at stabilisation began to emerge. Prices of leading cryptocurrencies are consolidating in a narrower range following the recent shock. Some previously oversold altcoins are exhibiting short-term growth on the back of a technical rebound, but broad-based rallying is not occurring. Overall sentiment remains uncertain: traders are wary of new waves of selling and are hesitant to return to risky positions. Until greater clarity emerges in the external macroeconomic environment, the market will likely continue to balance between cautious growth attempts and concerns over further declines.
Bitcoin: Volatility and Position Retention
The first cryptocurrency, Bitcoin (BTC), experienced its most significant decline in more than a year last week, instantly crashing to around $60,000 during panic selling on 6 February. Since the October peak (~$125,000 in 2025), the price of BTC has fallen nearly by half. The sharp price drop was driven by profit taking from several large holders after an extended rally, as well as reduced market liquidity. An additional trigger was the heightened expectations of Fed policy tightening – the news of the appointment of hawkish K. Warsh intensified concerns over further interest rate hikes. Collectively, these factors triggered a chain reaction: selling pressure and mass position liquidations pushed BTC to an annual low.
Bouncing back from the bottom near $60,000, Bitcoin quickly gained upward momentum and is now attempting to hold above $65–70,000. The breakout above the key psychological level of $70,000 was made possible by the presence of buyers seeing the price drop as a favourable entry opportunity. However, resistance remains on the path to recovery: the range of $72–73,000 has not yet been breached following the recent rebound. Bitcoin's dominance in the market has increased and now exceeds 60–62% of total capitalisation, highlighting the capital inflow into the flagship asset as a more reliable option. Long-term investors and large "whales" are not rushing to part with their BTC holdings, viewing the current decline as temporary. Furthermore, some public companies – among the largest holders of bitcoins – express firm belief in the long-term potential of the asset and even hint at a willingness to increase their reserves by taking advantage of the lower prices. Such interest from major players is helping the market avoid further crashes. The principal question for the near term is whether the ~$60,000 level will prove to be a strong “bottom” for the current cycle or if this level could be tested again. Several participants prefer to hedge risks by incorporating a scenario for a new round of drops to $50–60,000 should the external environment continue to deteriorate. Conversely, positive macroeconomic signals could spur further BTC growth from current levels.
Ethereum: Network Development Despite Market Correction
The second-largest cryptocurrency, Ethereum (ETH), has also experienced a significant decrease in price over recent weeks. From its autumn peak (~$5,000 in 2025), the ETH price has declined by approximately 50% and during the height of the recent sell-off briefly fell below $1,800. The rapid daily decline in early February (over 10% within 24 hours) triggered a cascade of automatic liquidations in the futures market, intensifying the downward momentum. However, despite the price correction, Ethereum continues to play a key role in the industry, and fundamental development within its ecosystem is ongoing.
In January, the Ethereum development team successfully implemented another protocol upgrade (hardfork codenamed "BPO"), aimed at enhancing the network's scalability and efficiency. Simultaneously, the expansion of second-layer solutions (Layer-2) continues, which reduce the load on the main blockchain and lower transaction fees. A significant portion of issued ETH remains locked in the staking mechanism or held by long-term investors, which limits the supply of ether in the market. Institutional interest in Ethereum remains high: back in 2025, the first exchange-traded funds (ETFs) linked to ETH emerged in the US, attracting billions of dollars within months. Major investment funds and corporations continue to include ether alongside Bitcoin in their core crypto portfolios, recognising its technological value. Thus, even amidst the price drop, Ethereum maintains strong fundamental positions, and the recent decline is viewed by many as a temporary phenomenon.
Altcoins: Volatility and Capital Redistribution
A wide range of alternative cryptocurrencies has found itself at the epicentre of recent turbulence, bearing the brunt of the sell-offs. Many secondary tokens, which had demonstrated impressive growth earlier in 2026, have depreciated by 30–60% from their peaks in recent weeks. In a state of panic, investors primarily reduced their riskiest positions, prompting a mass exodus from altcoins. Funds flowed from high-volatility alt-assets to safer instruments or were even withdrawn into fiat. This process is evidenced by the increasing share of stablecoins in total market capitalisation (many temporarily "parked" their funds in USDT, USDC, and similar assets) and the growing dominance of Bitcoin beyond 60%. A redistribution of funds is effectively occurring: amid disturbances, money is flowing from the altcoin segment into the flagship Bitcoin and dollar-stablecoins, which are perceived as a relatively "safe haven."
Until recently, separate large altcoins – including XRP, Solana, and Binance Coin – were among the engines of cryptocurrency market growth, showing outperformance at the end of 2025. However, during the current correction, even these leaders have significantly pulled back from their peaks. The market is currently undergoing a phase of risk reassessment, and a substantial influx of new capital into the altcoin sector is yet to materialise. Only select niche tokens are occasionally experiencing double-digit daily growth, attracting speculative attention, but such instances are more the exception than the rule. Until overall confidence returns and macro conditions improve, a broad rally in the "second tier" of cryptocurrencies seems unlikely.
Regulation: Integration of Cryptocurrencies and Varied Approaches
Regulators around the world are gradually integrating cryptocurrencies into the financial system, although their approaches vary. In the US, lawmakers are advancing a comprehensive Digital Asset Market Clarity Act to clarify the powers of agencies (SEC, CFTC, etc.) and establish clear "rules of the game" for the market, including 100% reserve backing for stablecoins. Despite a temporary pause in discussions due to industry disputes (e.g., concerning DeFi regulation), work on the law is expected to resume soon with support at the highest levels. Simultaneously, the US executive branch is showing goodwill towards the crypto industry: recently, the president signed an executive order officially allowing the inclusion of cryptocurrencies in 401(k) retirement savings plans, expanding investment opportunities and enhancing the integration of digital assets into traditional finance. At the same time, regulators are maintaining oversight: at the end of 2025, the SEC cut off a number of overtly fraudulent schemes (such as the bogus "AI Wealth" and "Morocoin" projects), and judicial precedents are beginning to clarify the legal status of crypto assets – highlighted by Ripple's court victory recognising the XRP token as not being a security, which has reduced legal risks for the sector.
In Europe, a unified MiCA regulation entered into force in January 2026, establishing transparent rules for crypto assets across all EU countries. The European Union is also preparing new reporting standards for crypto transactions (the DAC8 package), aimed at enhancing transparency and compliance with taxation. In Asia, Japan announced a reduction in taxes on income from cryptocurrency trading (~20%) and is considering launching its first crypto-ETFs to strengthen the country’s status as a hub for digital finance. In contrast, China is adhering to a strict stance – this week, authorities effectively banned stablecoins linked to the yuan, fearing uncontrolled capital outflows. Overall, the global trend is shifting from prohibition to regulation and integration: as clear rules emerge, institutional investors' trust in the crypto industry will grow, opening up new opportunities for its development.
Institutional Trends: Waiting Period and New Moves by Major Players
Following a record influx of institutional investments into crypto funds in 2025, the beginning of 2026 has been marked by a pause. The volatility in January and February prompted outflows from several crypto-ETFs and trusts: many managers took their profits and reduced risk positions in anticipation of stabilisation. However, the strategic interest of major players in digital assets remains. Traditional financial institutions continue to explore cryptocurrencies. Notably, in January, the exchange operator Nasdaq lifted previous restrictions on the position sizes of options on crypto ETFs (for instance, for BTC and ETH funds), equating them to the requirements for commodity ETFs. This move expands hedging and trading opportunities for large investors and demonstrates the further integration of crypto products into the mainstream. The largest derivatives exchange, CME Group, also reported that it is considering issuing its own token based on blockchain and transitioning to 24/7 trading of crypto derivatives, subject to regulatory approval. Even conservative players are seeking to adapt infrastructure to meet demand for crypto assets.
The crypto sphere is also attracting interest from the banking sector. Denmark's largest bank, Danske Bank, announced recently that it will provide its clients access to investments in Bitcoin and Ethereum via exchange products, effectively lifting a long-standing ban on working with cryptocurrencies. Meanwhile, international bank Standard Chartered has partnered with liquidity provider B2C2 to facilitate institutional access to crypto markets. Many public companies that previously invested in Bitcoin and other coins also maintain their positions despite the price declines, underscoring long-term confidence. Overall, the largest banks and asset managers are being cautious with new investments while actively developing crypto products and infrastructure. They expect that as macro conditions improve and clear rules emerge, client demand for digital assets will increase again, establishing a foundation for a new influx of institutional capital.
Macroeconomics: Central Banks' Aggressive Policies and Inflationary Challenges
At the beginning of 2026, the external macroeconomic backdrop remains challenging for risk assets, and cryptocurrencies are experiencing this pressure. A leadership change at the Fed is on the horizon: the main candidate, Kevin Warsh, is known for his commitment to a stringent monetary policy. Markets are anticipating that high interest rates will persist for a prolonged period, and the Fed's balance sheet will continue to shrink – a number of experts do not foresee policy easing until the end of 2026. These expectations have been reinforced by recent data: inflation remains high. Given that excess liquidity in prior years has fuelled rallies in crypto assets, the prospect of "expensive money" is prompting investors to reassess strategies regarding Bitcoin and altcoins. By late January, a political factor was added to the uncertainty: a budgetary crisis in the US nearly led to a government shutdown, temporarily undermining risk appetite.
On the international stage, risks are also plentiful. Trade tensions between the US and EU and a spike in Japanese government bond yields in February triggered a "flight to quality": investors flocked to safe assets. The price of gold soared to a record $5,000 per ounce, and the US dollar significantly strengthened. In this context, some investors temporarily ceased viewing Bitcoin as "digital gold," opting instead for more secure instruments.
Nevertheless, any signs of diminishing macroeconomic uncertainty could quickly reignite interest in cryptocurrencies. Market participants are currently cautiously awaiting new signals: inflation data from the US for January (released on 11 February) indicated only a moderate slowdown in price growth, with a key report on the US labour market forthcoming. These metrics will significantly impact central banks' policy forecasts. Signs of easing inflation or a softening of regulators' rhetoric could restore risk appetite and support the growth of crypto assets. Conversely, if the statistics disappoint, indicating a need for further tightening, the period of caution in the markets may extend. Analysts note that inflationary risks and geopolitical tensions remain prevalent, and investor readiness to actively return to volatile assets such as cryptocurrencies is directly contingent on the evolution of these factors.
Top 10 Most Popular Cryptocurrencies
- Bitcoin (BTC) – the first and largest cryptocurrency, accounting for about 60% of the entire market by capitalisation. BTC is currently trading around $70,000 and remains the foundation of most crypto portfolios, serving as "digital gold" for investors.
- Ethereum (ETH) – the second-largest digital asset by capitalisation and the leading smart contract platform. The price of ETH is around $2,100; ether is the backbone of the decentralised finance (DeFi) ecosystem and numerous dApp applications.
- Tether (USDT) – the largest stablecoin, pegged to the US dollar at a 1:1 ratio. Widely used by traders for convenience in trading and preserving capital between transactions; a capitalisation of approximately $80 billion makes USDT one of the main sources of liquidity in the crypto ecosystem.
- Binance Coin (BNB) – the token of the global cryptocurrency exchange Binance and the BNB Chain blockchain network. BNB holders receive discounts on trading fees and access to various ecosystem products. The coin is currently trading around $640 after a recent correction. Despite regulatory pressure on Binance, BNB remains in the top five due to its widespread use in trading and DeFi services.
- XRP (Ripple) – the token of the Ripple payment network, designed for quick cross-border transfers. XRP is holding steady at around $1.4, which is roughly half its recent local peak (in summer 2025, when the price exceeded $3 following a legal victory in the US). Despite the pullback, XRP remains one of the largest cryptocurrencies and draws attention from the banking sector due to its rapid payment technology.
- USD Coin (USDC) – the second most popular stablecoin, issued by Circle and fully backed by reserves in US dollars. Known for high transparency and compliance with regulatory requirements. USDC is widely used for payments, trading, and in DeFi applications (with a market capitalisation of around $30 billion).
- Solana (SOL) – a high-performance blockchain platform known for its low fees and transaction speeds. In 2025, SOL rose above $200, reigniting investors' interest in the project, and is currently trading at roughly half that price (~$85) following the overall market correction. Due to its scalability, Solana is regarded as a potential competitor to Ethereum in the DeFi and Web3 sectors.
- Cardano (ADA) – the cryptocurrency of the Cardano blockchain platform, developed on scientific research principles. ADA consistently remains in the top 10 due to its large market capitalisation (tens of billions of tokens are in circulation) and active community. However, its current price (~$0.30) remains significantly below historical highs, reflecting the overall market correction.
- Dogecoin (DOGE) – the most well-known "meme" cryptocurrency, created as a joke, but over time grew into one of the largest digital assets. DOGE is trading around $0.10; the coin enjoys support from a dedicated community and periodic interest from celebrities. Despite its high volatility, Dogecoin maintains its position in the upper echelons of rankings, showcasing the sustained interest from investors.
- Tron (TRX) – the token of the Tron blockchain platform, focused on decentralised applications and digital content. TRX (~$0.28) is in demand for issuing and moving stablecoins (a significant portion of USDT circulates on the Tron network due to low fees). This helps Tron remain among the market leaders alongside other top assets by capitalisation.
Outlook and Expectations
In the short term, the sentiment in the crypto market remains very cautious. Indicators reflect a state of "extreme fear," starkly contrasting with the euphoria of several months ago. If external risks do not subside, the recent correction could evolve into a more protracted decline. In a negative scenario, Bitcoin could retest the ~$60,000 level or drop lower – particularly if new macroeconomic or geopolitical shocks undermine investor confidence or regulators intensify their pressure on the sector. The recent price declines have served as a reminder of the importance of sound risk management: players who took excessive risks or assumed that crypto assets would "only go up" have experienced the flip side of high volatility.
On medium- to long-term horizons, many experts are more optimistic. The industry continues to develop technologically, new projects are being launched, and major companies have not lost interest in digital assets. Many investors view the current price decline as an opportunity to strengthen their positions, particularly in fundamentally strong assets. Historically, after periods of rapid growth (as seen in 2025), a phase of cooling and consolidation usually precedes the next upswing. The current fundamental drivers – from the widespread adoption of blockchain technologies across various sectors to the integration of cryptocurrencies into traditional finance – remain intact, providing a basis for future market growth. Some forecasts even suggest that as macro conditions improve, Bitcoin may not only reclaim the $100,000 level but could establish new records within the next one to two years. Of course, the realisation of such a scenario heavily depends on the actions of regulators and central banks: if the Fed shifts to policy easing as inflation slows down, and legislative clarity reduces legal risks for the industry, the influx of capital into crypto assets could accelerate sharply. Meanwhile, analysts advise investors to combine vigilance with a strategic vision. Volatility is an inherent feature of the crypto market and the flip side of its high potential returns. It is essential to adhere to risk management principles, but also not to overlook the long-term opportunities that arise as the digital asset market matures.
