The cryptocurrency market enters February with increased volatility. While there is evidence of institutional accumulation, on-chain data indicate that selling pressure has not completely subsided. Bitcoin (BTC) is attempting to maintain its recovery, but most altcoins are still experiencing downward pressure.
Bitcoin: $70,000 Remains a Critical Level
Bitcoin recently reclaimed the $70,000 mark, a key psychological level that now serves as an important support area. Some analysts continue to project long-term upside toward $180,000, arguing that the recent correction helped flush out excessive leverage and improve overall market structure.
Contrarian investors see the pullback toward $60,000 as a potential cycle low. However, despite the earlier drop in sentiment, there is still no clear confirmation that selling pressure has fully played out.
Supply-side pressure remains a factor. Cango sold roughly 4,451 BTC, valued at around $305 million, to fund its shift toward AI computing. In contrast, MicroStrategy added 1,142 BTC to its balance sheet, even as it continues to carry more than $5 billion in unrealized losses. Binance also increased its BTC holdings by $300 million to bolster its SAFU fund.
Altcoins: Pressure Persists
Altcoins remain under heavier pressure. Ethereum (ETH) briefly dipped below $2,000 before stabilizing above the level. On-chain data shows a surge in token movements, a pattern that has historically been associated with distribution phases or short-term capitulation.
XRP highlights the gap between fundamentals and market behavior. While Ripple expanded its institutional custody offering with new staking features and security upgrades, on-chain metrics tell a different story. Glassnode data points to rising realized losses across the XRP network.
XRP’s Spent Output Profit Ratio (SOPR) has fallen to 0.96, indicating that most coins being moved are sold at a loss. According to Glassnode, this has triggered additional liquidations—similar to the extended consolidation period seen between September 2021 and May 2022. Historically, such phases often mark a necessary reset before market conditions begin to stabilize.
Meanwhile, Solana (SOL) continues to trade within a weak technical structure. Several analysts warn that a move toward the $50 level remains possible if selling pressure continues and current support fails to hold.
Slow Money and the Rise of AI Agents
From a macro standpoint, analyst Lyn Alden suggests the Federal Reserve is shifting toward a “slow money” framework, favoring prolonged and gradual liquidity tightening over sudden policy shocks.
On the technology side, autonomous AI agents are becoming more active across multiple blockchain networks. These agents transact in crypto automatically and at scale. While they introduce new use cases, their activity is also beginning to strain networks, contributing to congestion and operational friction.
Disclaimer
This material is for general informational purposes only and does not constitute investment advice, recommendations, or an invitation to buy or sell crypto assets, digital assets, securities, derivatives, or to make any investment decisions. Mobee is not obligated to update this report based on information or events occurring after the date of publication. Any views or recommendations contained in this report may not be suitable for all users.
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