📉 Crypto Market Crash — Feb 2, 2026 Update
The crypto market just experienced one of the largest deleveraging events in months. Today, Bitcoin slipped below $75K–$78K, and altcoins followed, wiping out $2.5B+ in leveraged positions.
Why it happened:
Leverage Cascade: Long-heavy positions triggered mass liquidations. Funding rates flipped deeply negative, pushing BTC and ETH down further.
Macro Risk-Off: Global markets are under pressure. Stocks, gold, and crypto are all selling as liquidity tightens.
Technical Breakdown: Key support levels breached, daily/weekly MAs rolling over — short-term trend is bearish until proven otherwise.
Market Sentiment: Extreme Fear. Panic selling dominates, but historically such conditions often precede relief rallies.
🔮 What to Watch Next
Bearish: BTC could test $70K if selling pressure continues.
Neutral: Range formation likely between $70K–$85K while liquidity stabilizes.
Bullish: Only a macro pivot and reclaim of key resistances can confirm recovery.
Key Takeaway:
This crash is driven by leverage and liquidity, not fundamentals. Volatility is high, but disciplined investors can view this as a structural reset and accumulation opportunity.
Actionable Tip: Monitor liquidation clusters, funding rates, and key support levels before taking new positions. Patience and risk management are critical.
