The
cryptocurrency market plunged for the third consecutive session on Thursday,
February 5, 2026, with Bitcoin dropping 3.5% to test $70,000, the lowest level
since November 2024, before recovering slightly to $71,340.
XRP crashed
over 7% below $1.40, Ethereum fell to $2,068 (lowest since May 2025), and
Dogecoin battles support at $0.10 as $775 million in leveraged
positions were liquidated.
In this article
I analyze XRP/USDT, BTC/USD, ETH/USDT and DOGE/USDT charts, answering the
question of why crypto is going down today.
Bitcoin’s
price fell for the third straight session, dropping 3.5% to test $70,052,
the lowest since November 2024, before recovering to $71,340, down 1.5%. This
represents a decisive break below my target range of $74,000 that I’ve been
discussing since November.
While
I forecasted a potential bounce at $74,000, I practice reactive
analysis rather than wishful thinking analysis, which means I was prepared
for this scenario as well. With the breakdown confirmed, I’m
now targeting $68,000, where the 200-week exponential
moving average (200 WMA) runs on the weekly chart. That’s where I’ll
expect a demand reaction.
If that
level also fails to hold, I have my long-term ultra-bearish target around $52,000,
where the 100% Fibonacci extension based on the current trend lands. One thing
is certain: pressure on cryptocurrencies continues to persist.
Bitcoin is
now approximately 45% below its October peak near $126,000,
with the recent drawdown accelerating as expectations that BTC would never
revisit sub-$100K levels were shattered.
Why Bitcoin price is going down? Source: Tradingview.com
Joel
Kruger, crypto strategist at LMAX, offers perspective on the brutal selloff
while identifying potential bottoming signals.
“Price
action across crypto has been undeniably heavy over the past 24 hours, with
bitcoin acting as the primary drag on broader sentiment and ETH following
suit,” Kruger notes. However, he points to emerging signs of exhaustion.
Follow
me on X for more crypto market analysis: @ChmielDk
XRP Price Analysis:
Testing $1.40 Opens Path to $1.25 or $0.53
XRP is also
falling for the third consecutive session, and today is one of the strongest
declines this year, losing over 7% and testing levels below $1.40.
If we exclude October’s flash crash, this is the lowest value since November
2024.
Breaking
the local support defined by April 2025 lows opens the path
toward targets in the $1.25-1.26 range, the minimums from
the aforementioned flash crash. If this level also fails to hold, I’m targeting
just $0.53 on the XRP chart.
Why XRP price is going down? Source: Tradingview.com
What would
need to happen for me to change my bearish stance? Such scenarios are really
far away, XRP would need to return above $2.20, where the 200-day
EMA currently sits.
Dogecoin Price Analysis:
Fighting $0.10 Support
Dogecoin (DOGE), like BTC
and XRP, is falling for the third consecutive session and is fighting with
local support around the round level of $0.10, which coincides with
the lowest levels since September 2024.
Doge
already broke its important support at the end of January, located just
below $0.12, and is currently in short-term consolidation at
medium-term lows. Bearish pressure remains strong here, and breaking this level
will open the path to declines toward 2024 minimums around $0.08.
Why Dogecoin price is going down? Source: Tradingview.com
To relieve
pressure from Dogecoin’s shoulders, we would need to wait until around $0.16,
where the 200 EMA sits.
Ethereum Price Analysis:
$2,068 Tests June 2025 Support
Ethereum’s
price, unlike the three charts mentioned above, is also falling for the third
consecutive session, deepening this year’s lows on Thursday to $2,068—the
lowest value since May 2025.
Support
designated by June 2024 lows around $2,100 continues to hold
price in check, and today we also see a reaction at this level. As a result,
ETH is currently losing only 0.7% and changing hands at $2,132.
Why Ethereum price is going down? Source: Tradingview.com
Although
bearish pressure persists, even if the current support breaks, the next support
sits around $1,760 (March 2025 lows), and the final ultimate
level around $1,400 (April 2024 yearly lows).
According
to my technical analysis, Ethereum prices could fall to $1,725 or lower
in February, aligning with the inverted cup and handle downside target,
which historically achieves its expected target with an 82% success rate.
I’ll
abandon bearish scenarios when ETH returns at least to the consolidation range
drawn from November to the end of January, between $2,750 and $3,430.
Why Is Crypto Crashing
Today?
$775 Million Liquidation
Cascade
Thursday’s
crypto crash triggered a massive $775 million liquidation event across
major exchanges as Bitcoin plunged to $70,000. What began as a minor technical
correction “accelerated into a mass capitulation of long positions,”
according to market analysis.
The violent
flush caught leverage traders off guard, with open interest ballooning
to unsustainable levels over the past week driven by retail FOMO and
aggressive perpetual positioning. When the floor gave way, algorithmic selling
pressure was instantaneous.
Recent data
shows over $800 million in leveraged liquidations impacting
around 165,000 traders, with the majority coming from long positions. This
follows the February 1 “Black Sunday II” event that saw $2.2
billion liquidated in 24 hours, the largest single-day wipeout since
October 2025.
Hawkish Federal Reserve
Policy
“The
recent downturn in the cryptocurrency market has been swift and severe, with
analysts attributing the decline to the appointment of Kevin Warsh as the
prospective chair of the Federal Reserve, amid expectations that he might
reduce the Fed’s balance sheet,” according to Reuters.
Signs of
ongoing high interest rates have pushed the U.S. Dollar Index (DXY)
above 97.5, making investors less interested in riskier assets like
Bitcoin. The Fed’s January 28 hold at 3.50-3.75% with Powell stating he’s
“not in a hurry to cut” continued to weigh on risk assets, with real
yields remaining elevated.
Institutional Outflows
Accelerate
Big
investors such as BlackRock have sold large amounts of Bitcoin, with $373.8
million leaving spot BTC ETFs recently. Bitcoin ETFs have continued
bleeding with cumulative multi-billion dollar outflows since mid-January,
removing spot bid support and forcing correlated selling in leveraged products.
Technical Targets Table
With clear
breaks below key support levels across major cryptocurrencies, here are my next
technical targets:
|
Crypto |
Current Price |
Next Target |
Ultra-Bearish Target |
Bull Invalidation |
|
Bitcoin |
$71,340 |
$68,000 (200-week EMA) |
$52,000 (100% Fib) |
Above $84,000 |
|
XRP |
Below $1.40 |
$1.25-1.26 (Oct flash crash) |
$0.53 (long-term) |
Above $2.20 (200 EMA) |
|
Ethereum |
$2,132 |
$1,760 (Mar 2025 lows) |
$1,400 (Apr 2024 lows) |
$2,750-3,430 range |
|
Dogecoin |
$0.10 |
$0.08 (2024 lows) |
N/A |
Above $0.16 (200 EMA) |
Crypto Price Analysis, FAQ
Why is crypto falling
today?
Crypto
crashed for the third consecutive session on February 5, 2026, with Bitcoin
testing $70,000 (lowest since Nov 2024), triggering $775 million in
liquidations. Kevin Warsh’s Fed Chair appointment raised expectations for
balance sheet reduction and hawkish policy, pushing DXY above 97.5 and making
risk assets less attractive.
How low can Bitcoin go?
Bitcoin
broke my November target of $74,000 and tested $70,052 before recovering to
$71,340. The next technical target is $68,000 where the 200-week EMA provides
critical support, with an ultra-bearish scenario targeting $52,000 (100%
Fibonacci extension). Analysts Peter Brandt and Michael Burry identify support
levels at $60,176 and $47,824 if $70,000 breaks. LMAX’s Joel Kruger notes
Bitcoin is “roughly 45% below its October peak” with “hallmarks
of capitulation now in place.”
Why is XRP crashing?
XRP crashed
over 7% on Thursday to below $1.40—the lowest since November 2024 excluding
October’s flash crash. Breaking April 2025 local support opens the path to
$1.25-1.26 (October flash crash lows), with the long-term ultra-bearish target
at $0.53. Bull invalidation requires a return above $2.20 where the 200-day EMA
currently sits, representing a 57% rally from current levels.
The
cryptocurrency market plunged for the third consecutive session on Thursday,
February 5, 2026, with Bitcoin dropping 3.5% to test $70,000, the lowest level
since November 2024, before recovering slightly to $71,340.
XRP crashed
over 7% below $1.40, Ethereum fell to $2,068 (lowest since May 2025), and
Dogecoin battles support at $0.10 as $775 million in leveraged
positions were liquidated.
In this article
I analyze XRP/USDT, BTC/USD, ETH/USDT and DOGE/USDT charts, answering the
question of why crypto is going down today.
Bitcoin’s
price fell for the third straight session, dropping 3.5% to test $70,052,
the lowest since November 2024, before recovering to $71,340, down 1.5%. This
represents a decisive break below my target range of $74,000 that I’ve been
discussing since November.
While
I forecasted a potential bounce at $74,000, I practice reactive
analysis rather than wishful thinking analysis, which means I was prepared
for this scenario as well. With the breakdown confirmed, I’m
now targeting $68,000, where the 200-week exponential
moving average (200 WMA) runs on the weekly chart. That’s where I’ll
expect a demand reaction.
If that
level also fails to hold, I have my long-term ultra-bearish target around $52,000,
where the 100% Fibonacci extension based on the current trend lands. One thing
is certain: pressure on cryptocurrencies continues to persist.
Bitcoin is
now approximately 45% below its October peak near $126,000,
with the recent drawdown accelerating as expectations that BTC would never
revisit sub-$100K levels were shattered.
Why Bitcoin price is going down? Source: Tradingview.com
Joel
Kruger, crypto strategist at LMAX, offers perspective on the brutal selloff
while identifying potential bottoming signals.
“Price
action across crypto has been undeniably heavy over the past 24 hours, with
bitcoin acting as the primary drag on broader sentiment and ETH following
suit,” Kruger notes. However, he points to emerging signs of exhaustion.
Follow
me on X for more crypto market analysis: @ChmielDk
XRP Price Analysis:
Testing $1.40 Opens Path to $1.25 or $0.53
XRP is also
falling for the third consecutive session, and today is one of the strongest
declines this year, losing over 7% and testing levels below $1.40.
If we exclude October’s flash crash, this is the lowest value since November
2024.
Breaking
the local support defined by April 2025 lows opens the path
toward targets in the $1.25-1.26 range, the minimums from
the aforementioned flash crash. If this level also fails to hold, I’m targeting
just $0.53 on the XRP chart.
Why XRP price is going down? Source: Tradingview.com
What would
need to happen for me to change my bearish stance? Such scenarios are really
far away, XRP would need to return above $2.20, where the 200-day
EMA currently sits.
Dogecoin Price Analysis:
Fighting $0.10 Support
Dogecoin (DOGE), like BTC
and XRP, is falling for the third consecutive session and is fighting with
local support around the round level of $0.10, which coincides with
the lowest levels since September 2024.
Doge
already broke its important support at the end of January, located just
below $0.12, and is currently in short-term consolidation at
medium-term lows. Bearish pressure remains strong here, and breaking this level
will open the path to declines toward 2024 minimums around $0.08.
Why Dogecoin price is going down? Source: Tradingview.com
To relieve
pressure from Dogecoin’s shoulders, we would need to wait until around $0.16,
where the 200 EMA sits.
Ethereum Price Analysis:
$2,068 Tests June 2025 Support
Ethereum’s
price, unlike the three charts mentioned above, is also falling for the third
consecutive session, deepening this year’s lows on Thursday to $2,068—the
lowest value since May 2025.
Support
designated by June 2024 lows around $2,100 continues to hold
price in check, and today we also see a reaction at this level. As a result,
ETH is currently losing only 0.7% and changing hands at $2,132.
Why Ethereum price is going down? Source: Tradingview.com
Although
bearish pressure persists, even if the current support breaks, the next support
sits around $1,760 (March 2025 lows), and the final ultimate
level around $1,400 (April 2024 yearly lows).
According
to my technical analysis, Ethereum prices could fall to $1,725 or lower
in February, aligning with the inverted cup and handle downside target,
which historically achieves its expected target with an 82% success rate.
I’ll
abandon bearish scenarios when ETH returns at least to the consolidation range
drawn from November to the end of January, between $2,750 and $3,430.
Why Is Crypto Crashing
Today?
$775 Million Liquidation
Cascade
Thursday’s
crypto crash triggered a massive $775 million liquidation event across
major exchanges as Bitcoin plunged to $70,000. What began as a minor technical
correction “accelerated into a mass capitulation of long positions,”
according to market analysis.
The violent
flush caught leverage traders off guard, with open interest ballooning
to unsustainable levels over the past week driven by retail FOMO and
aggressive perpetual positioning. When the floor gave way, algorithmic selling
pressure was instantaneous.
Recent data
shows over $800 million in leveraged liquidations impacting
around 165,000 traders, with the majority coming from long positions. This
follows the February 1 “Black Sunday II” event that saw $2.2
billion liquidated in 24 hours, the largest single-day wipeout since
October 2025.
Hawkish Federal Reserve
Policy
“The
recent downturn in the cryptocurrency market has been swift and severe, with
analysts attributing the decline to the appointment of Kevin Warsh as the
prospective chair of the Federal Reserve, amid expectations that he might
reduce the Fed’s balance sheet,” according to Reuters.
Signs of
ongoing high interest rates have pushed the U.S. Dollar Index (DXY)
above 97.5, making investors less interested in riskier assets like
Bitcoin. The Fed’s January 28 hold at 3.50-3.75% with Powell stating he’s
“not in a hurry to cut” continued to weigh on risk assets, with real
yields remaining elevated.
Institutional Outflows
Accelerate
Big
investors such as BlackRock have sold large amounts of Bitcoin, with $373.8
million leaving spot BTC ETFs recently. Bitcoin ETFs have continued
bleeding with cumulative multi-billion dollar outflows since mid-January,
removing spot bid support and forcing correlated selling in leveraged products.
Technical Targets Table
With clear
breaks below key support levels across major cryptocurrencies, here are my next
technical targets:
|
Crypto |
Current Price |
Next Target |
Ultra-Bearish Target |
Bull Invalidation |
|
Bitcoin |
$71,340 |
$68,000 (200-week EMA) |
$52,000 (100% Fib) |
Above $84,000 |
|
XRP |
Below $1.40 |
$1.25-1.26 (Oct flash crash) |
$0.53 (long-term) |
Above $2.20 (200 EMA) |
|
Ethereum |
$2,132 |
$1,760 (Mar 2025 lows) |
$1,400 (Apr 2024 lows) |
$2,750-3,430 range |
|
Dogecoin |
$0.10 |
$0.08 (2024 lows) |
N/A |
Above $0.16 (200 EMA) |
Crypto Price Analysis, FAQ
Why is crypto falling
today?
Crypto
crashed for the third consecutive session on February 5, 2026, with Bitcoin
testing $70,000 (lowest since Nov 2024), triggering $775 million in
liquidations. Kevin Warsh’s Fed Chair appointment raised expectations for
balance sheet reduction and hawkish policy, pushing DXY above 97.5 and making
risk assets less attractive.
How low can Bitcoin go?
Bitcoin
broke my November target of $74,000 and tested $70,052 before recovering to
$71,340. The next technical target is $68,000 where the 200-week EMA provides
critical support, with an ultra-bearish scenario targeting $52,000 (100%
Fibonacci extension). Analysts Peter Brandt and Michael Burry identify support
levels at $60,176 and $47,824 if $70,000 breaks. LMAX’s Joel Kruger notes
Bitcoin is “roughly 45% below its October peak” with “hallmarks
of capitulation now in place.”
Why is XRP crashing?
XRP crashed
over 7% on Thursday to below $1.40—the lowest since November 2024 excluding
October’s flash crash. Breaking April 2025 local support opens the path to
$1.25-1.26 (October flash crash lows), with the long-term ultra-bearish target
at $0.53. Bull invalidation requires a return above $2.20 where the 200-day EMA
currently sits, representing a 57% rally from current levels.
