Yesterday, February 5, 2026, the crypto market experienced a real Armageddon. Bitcoin plummeted to $63,500, and altcoins fell even faster. But what really happened? Who are these puppet masters pulling the strings?
My investigation revealed three main suspects:
1. The 'Hawk' at the Fed: Kevin Warsh and Trump's policies š¦
Strangely, the main trigger was Donald Trump. His decision to appoint Kevin Warsh as the new head of the Federal Reserve shocked traditional markets and then crypto. Warsh is a known "hawk," a proponent of strict monetary policy and fighting inflation.
Result: Investors have realized that the era of "cheap money" is over. Capital has started to flee from risky assets (crypto) into safe dollars. Washington has shown who's in charge here.
2. Institutional "betrayal": Exit from Bitcoin ETF š¦
We are used to seeing BlackRock, Fidelity, and Grayscale only buying $BTC . But yesterday, the opposite happened: over $370 million was withdrawn from spot Bitcoin ETFs in the U.S. in just a few days.
Essence: Large hedge funds were closing their "basis trade" ā an arbitrage strategy. As soon as it stopped being profitable, they began to massively offload real Bitcoin, crashing the price and creating a domino effect.
3. Algorithms and the "Razor" of margin traders šŖ
When the BTC price broke the key support at $70,000, cascade liquidations were triggered. Robots do not wait: they forcibly closed positions of traders who lacked collateral.
Fact: Yesterday, long positions worth over $2.3 billion were wiped out. It wasn't people selling ā exchanges "shaved" millions, knocking them out of the market.
š 3 coins that have reached strong levels and are ready to bounce!
Amid the panic, the best opportunities arise. While weak hands are exiting, and whales are lying in wait, I've highlighted three assets that have tested powerful support zones and are ready for a technical bounce.
$XRP (Ripple):
Why: Despite the crash, the fundamentals of XRP are stronger than ever: this week Ripple received a full EMI license in Luxembourg for expansion into the EU. Technically, the price yesterday "touched" the crucial zone of $0.90 ā $1.10 (mirror level and multi-year trend). Historically, XRP loves sharp bounces after such sell-offs, especially against the backdrop of news about integration into the banking sector.
Entry: $0.92 ā $1.15
Target 1: $1.50
Target 2: $1.90+
XRP1.3425+0.62%
2. Fetch.ai ($FET ):
Why: Leader of the AI sector. Even on "red Thursday," FET showed its teeth, bouncing off dynamic support. The artificial intelligence sector is the main trend of 2026, and such sell-offs are just a recharge before a new high.
Entry: $0.14 ā $0.16
Target 1: $0.25
Target 2: $0.50
FET0.2296-2.04%
3. Solana (SOL):
Why: SOL has reached a "reinforced concrete" level of $55 - $60. This zone has already held the coin from a deep fall three times in this cycle. The Solana ecosystem continues to generate huge trading volumes, and whales are unlikely to let it go below without a fight.
Entry: $55 - $63
Target 1: $85
Target 2: $110
Important: This is not financial advice. Always DYOR (Do Your Own Research) and adhere to risk management. Now is the time for informed decisions, not panic!
What coins are you buying on such a drop? Share in the comments! š
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