Current Cryptocurrency News as of 4 February 2026: Bitcoin Attempts to Stabilise After January Sell-off, Major Altcoins Remain at Multi-month Lows, Regulators Intensify Development of New Market Rules, Overview of the Top 10 Popular Cryptocurrencies and Industry Outlook.
Market Overview: Attempts at Stabilisation Following the Crash
As of the morning of 4 February 2026, the global cryptocurrency market is showing tentative signs of recovery after the recent crash. Following the most challenging month in recent times (January), during which the total market capitalisation shrank by approximately one quarter from autumn peaks, relative calm has emerged in the market. Bitcoin (BTC) is holding steady around ~$78–80 thousand, having rebounded from a local bottom near $75,000, which proved to be a psychologically significant support level. Nevertheless, the overall market capitalisation of cryptocurrencies is still estimated at less than $3 trillion (down from over $4 trillion at its peak), and investor sentiment remains cautious, with the Fear and Greed Index lingering in the ‘fear’ zone. Traders are carefully assessing macroeconomic risks and regulatory news before returning to active purchases of digital assets.
Bitcoin: Consolidating at a Key Level
The leading cryptocurrency is trying to establish a firm base after a deep correction. Early in the week, the price of Bitcoin dipped to approximately ~$75,000 – its lowest level since Spring 2025 – but subsequently, the ‘digital gold’ has managed to bounce back from this mark. BTC is currently consolidating around $80,000, which is roughly 35–40% lower than its all-time high of nearly $125,000 reached in October 2025. Bitcoin's dominance in the market has once again exceeded 60%, reflecting a capital flow from riskier altcoins to the flagship asset. Experts note that even after a significant downturn, Bitcoin remains one of the largest financial assets globally, with most long-term holders (‘whales’) reluctant to part with their coins. On the contrary, some large investors view the current levels as a strategic opportunity: public companies that previously increased their BTC reserves are signalling their readiness to buy more on price dips, confident in Bitcoin's long-term value. Such actions by ‘smart money’ help to sustain confidence in Bitcoin's fundamental qualities, despite high short-term volatility.
Ethereum: Price Pressure Amid Strong Fundamentals
The second-largest cryptocurrency by market capitalisation, Ethereum (ETH), also remains under pressure in line with the broader market. Since autumn 2025, the price of ETH has dropped by nearly 50% from its peak (~$5,000), and this week it briefly fell below $2,300 during the sell-off. Currently, Ether is trading in the range of ~$2,400–2,500, which is significantly below its historical high; however, the fundamental metrics of the network continue to inspire optimism. In January, Ethereum developers successfully implemented another protocol update aimed at improving the blockchain's scalability, and the Layer-2 ecosystem continues to grow, alleviating the burden on the main network and reducing fees. A significant portion of ETH remains locked in staking or held long-term, restricting supply in the market. Despite a temporary outflow of capital from Ethereum funds during the January downturn, institutional interest in ETH remains persistent: in 2025, the first spot ETFs on Ethereum emerged in the U.S., attracting billions of dollars, and many large investors still include Ethereum in their portfolios alongside Bitcoin. Thus, despite price declines, Ethereum maintains a key role in the industry (DeFi, NFTs, dApps) and strong fundamental positions, supporting positive long-term expectations.
Altcoins: Multi-month Market Lows
A wide range of altcoins within the top 10 continues to trade at diminished levels following January's crash. Many leading altcoins have lost 30–50% of their value from recent highs. The wave of risk aversion has forced investors to reduce positions in the most volatile tokens, with a significant capital flow moving into stable assets or exiting the cryptocurrency market entirely. This has resulted in a rise in the share of stablecoins and a strengthening of Bitcoin's dominance. The share of BTC in total market capitalisation has once again surpassed 60%, indicating a migration of funds from altcoins into the most reliable digital asset.
Not long ago, some coins showed outperforming dynamics amid positive news, but the overall downward trend has overshadowed these achievements. For example, the XRP token (Ripple) surged to around $3 after a high-profile legal victory for the company Ripple last summer, but by early February, it retreated to approximately $1.5. A similar scenario applies to Solana (SOL): in autumn 2025, the price of SOL soared above $200 due to a recovery in its ecosystem, but currently, it has corrected to just over $100. The Binance Coin (BNB) token reached ~$880 at its peak in 2025, remaining resilient even under regulatory pressure surrounding the Binance exchange; however, it has since dropped to around $500 in line with the market. Other significant altcoins, including Cardano (ADA), Dogecoin (DOGE), and Tron (TRX), are also well below their historical highs, although they maintain their positions in the top ten due to still high capitalisation and community support. In an environment of heightened uncertainty, many traders prefer to weather the turbulence, holding stablecoins (USDT, USDC, etc.) or Bitcoin. The influx of new capital into the altcoin segment remains limited until the overall macroeconomic situation clarifies. A return of interest in altcoins is possible after Bitcoin stabilises and a risk appetite is restored, but in the near term, caution prevails and the preference leans towards the most reliable assets.
Regulation: The Quest for Clear Rules
In response to the rapid growth of the industry, governments and regulators worldwide have intensified efforts to establish unified rules for the cryptocurrency market. Key regulatory directions as of early 2026 include:
- United States: In the United States, the topic of digital asset regulation has reached a level of dialogue between the government and the industry. The administration is organising meetings with banks and cryptocurrency companies, aiming to reach a compromise and form a comprehensive regulatory framework (including the Digital Asset Market Clarity Act). The tightening of requirements for stablecoin issuers (up to 100% backing of their issuance) is also being discussed. At the same time, regulators continue to implement targeted oversight measures: the SEC and CFTC secured the closure of several fraudulent schemes at the end of 2025, and legal precedents (such as Ripple's victory in the XRP case) are gradually clarifying the legal status of key tokens. In some states, independent initiatives are even being pursued – including proposals to create their own ‘Bitcoin reserves’ to support innovation.
- Europe: As of January 2026, the European Union's MiCA regulation has come into force, establishing transparent rules for cryptocurrency activities across all EU countries. Additionally, preparations are underway to implement the DAC8 reporting standard, which will require cryptocurrency platforms to report user transactions to tax authorities (to come into force later in 2026). These measures aim to unify oversight and reduce uncertainty for businesses and investors in the European cryptocurrency market.
- Asia: Asian financial centres are seeking a balance between controlling the cryptocurrency industry and attracting innovation. Japan plans to alleviate the tax burden on cryptocurrency transactions (considering reducing the trading tax rate to ~20%) and is preparing to launch its first crypto-ETFs, strengthening the country's position as a progressive digital hub. In Hong Kong, Singapore, and the UAE, licensing regimes for cryptocurrency exchanges and blockchain projects are being introduced – this allows for the simultaneous attraction of high-tech companies and enhanced investor protection. The global trend is clear: from bans and fragmented steps, governments are transitioning to integrate the cryptocurrency market into the existing financial system through clear rules and licenses. As such unified norms emerge, institutional trust in the crypto industry will grow, which will positively influence the market in the long term.
Institutional Trends: Pause and Long-term Approach
Following record investments from institutional players in cryptocurrencies last year, the beginning of 2026 has seen major players adopting a more cautious position. Sharp price fluctuations in January triggered a temporary outflow of funds from some crypto funds and crypto-ETFs: managers took profits and reduced risks, anticipating market stabilisation. According to industry analysts, over $1 billion was withdrawn from American spot Bitcoin ETFs during the last weeks of January, while outflows from Ethereum funds amounted to hundreds of millions of dollars – a sign of increased caution from ‘smart money’. Nonetheless, long-term interest in digital assets has not dissipated. Major financial firms continue to engage in strategic projects in the crypto space – implementing blockchain solutions, developing the infrastructure for the storage and servicing of digital assets, and investing in sector-specific startups. For example, the exchange operator Nasdaq recently expanded trading capabilities for crypto derivatives, lifting several restrictions and thereby bringing the terms of engagement with crypto-ETFs closer to those of traditional instruments. Public companies holding Bitcoin on their balance sheets are not selling assets even during downturns, and some, as previously noted, are ready to increase positions at attractive prices. It is expected that as macroeconomic uncertainty declines and regulatory rules become clearer, institutional investors may accelerate their investment in cryptocurrencies.
Top 10 Most Popular Cryptocurrencies
The top ten largest digital currencies by market capitalisation today includes the following assets:
- Bitcoin (BTC) – the first and largest cryptocurrency, currently dominating around 60% of the entire market. BTC is trading around $80,000 after a recent correction, remaining the primary ‘digital gold’ and foundational asset for many investors' crypto portfolios.
- Ethereum (ETH) – the second-largest crypto asset and leading smart contract platform. The current price of ETH is around $2,400; Ether underpins DeFi ecosystems, NFTs, and a multitude of decentralised applications, maintaining critical importance for the industry.
- Tether (USDT) – the largest stablecoin, pegged to the US dollar at a 1:1 ratio. USDT is widely used for trading and holding funds, providing liquidity in the market; its capitalisation (around $80 billion) reflects high demand within the crypto ecosystem.
- Binance Coin (BNB) – the native token of leading cryptocurrency exchange Binance and the BNB Chain blockchain platform. It offers discounts on trading fees and serves as fuel for many DeFi applications. Following the correction, BNB is priced at around $500; despite regulatory pressures surrounding Binance, the coin remains in the top-5 due to its broad application.
- XRP (Ripple) – the token of the Ripple payment network for fast international transfers. XRP is trading around $1.5 (about half its multi-year peak); thanks to legal clarity regarding its status in the U.S. and interest from funds, this token retains its place among the largest cryptocurrencies.
- USD Coin (USDC) – the second most popular stablecoin (issued by Circle), fully backed by dollar reserves. USDC is known for its transparency and compliance with regulations; it is actively used in trading and DeFi (capitalisation around $30 billion).
- Solana (SOL) – a high-performance blockchain platform known for low fees and fast transaction processing. In 2025, SOL soared above $200, attracting investor attention; however, the price has since corrected by approximately half (slightly above $100) following the market downturn, but Solana remains among the leading protocols for DeFi and Web3.
- Cardano (ADA) – a cryptocurrency of the Cardano platform, developed based on a scientific approach. ADA holds its place in the top 10 due to its large market capitalisation and active community, though its price (~$0.50) is much lower than historical records. The project continues technical upgrades, laying the foundation for future growth.
- Dogecoin (DOGE) – the most famous ‘meme’ crypto asset, which began as a joke but has turned into a mass phenomenon. DOGE is holding around $0.10; the coin is supported by a loyal community and occasional attention from celebrities. Despite high volatility, Dogecoin remains in the top 10, demonstrating remarkable resilience to investor interest.
- Tron (TRX) – the token of the Tron platform, focused on decentralised applications and digital content. TRX (~$0.25) is in demand for the issuance and movement of stablecoins (a significant portion of USDT is circulating on the Tron blockchain due to low fees), helping it retain its spot among major coins.
Outlook and Expectations
In the short term, the situation in the cryptocurrency market remains uncertain. Investor sentiment tends to lean towards caution: the Fear and Greed Index is positioned in the ‘fear’ zone, indicating a predominance of negative expectations. Analysts warn that if macroeconomic pressure persists, another wave of price declines could occur. In particular, some experts do not rule out Bitcoin falling to $70,000–75,000 if current support levels do not hold. Volatility has remained elevated in recent weeks, and a series of liquidations of margin positions remind market participants of the importance of strict risk management when dealing with crypto assets.
However, many specialists hold a positive view on the mid- and long-term prospects for the industry. Historically, every deep downturn has cleared the market of excessive speculation and laid the groundwork for a new phase of growth. The technological development of the ecosystem does not pause for a day: new innovative projects emerge, infrastructure is enhanced, and traditional financial institutions are integrating blockchain into their businesses. Major global corporations remain interested in cryptocurrencies – rather, they view the current correction as an opportunity to strengthen their positions. Following the tumultuous rally of 2025, a natural phase of cooling and consolidation has occurred; as the macroeconomic environment improves and regulatory uncertainty recedes, the market is expected to resume its upward trajectory. Fundamental demand factors for digital assets – from the widespread adoption of distributed ledger technology to the growth of decentralised finance (DeFi) and the development of the Web3 concept – continue to be operational. According to several investment firms, under favourable conditions, Bitcoin not only has the potential to recover above the psychological mark of $100,000 but also to set new records in the next year or two. Of course, much depends on the policies of regulators and central banks: if the Federal Reserve adopts a more accommodative stance in response to declining inflation and legislative initiatives address legal gaps, the influx of capital into crypto assets could accelerate significantly. For now, investors are advised to combine vigilance with a strategic outlook on the market. High volatility is an inherent feature of cryptocurrency development, but for long-term investors, the current correction may represent new entry points. Digital assets, despite the downturn, continue to secure their position in the global financial system, and their role in the long term is likely to grow.
