The global digital asset market has experienced a significant "stress test" in early February 2026. After reaching record highs in late 2025, a massive wave of liquidations—totaling over $5 billion in a single day—wiped out significant value across all major tokens. This correction was largely driven by excessive leverage in the system and a sudden shift in global risk appetite. Analysts note that this "cleansing" of the market was necessary for long-term health, as it removed speculative froth. Currently, the market is in a stabilization phase, with institutional buyers reportedly "buying the dip" as prices hit multi-month lows.