Stay updated on key drivers of crypto moves since early February

Cryptocurrencies haven’t had any respite since October 2025, and despite their attempted rebound in early 2026, bulls couldn't withstand the wave of outflows.

Markets were subject to particular deleveraging flows at the end of January 2026, with geopolitical uncertainty still gripping sentiment and hurting the highest-beta assets – particularly those at the extremes of the risk spectrum. With record outflows in the tech sector, cryptocurrencies, which are closely correlated with it (a close to 0.73 correlation)¹, saw a cascading effect when Kevin Warsh’s nomination preceded a rush to the dollar, accelerating the outflows.

Bitcoin has fallen 30% since the announcement, reaching lows of $60,000; some altcoins have suffered even greater losses.

Despite a "yield war" between Wall Street and the crypto industry — highlighted by banks, pushing to prevent exchanges from offering interest on stablecoins — a significant bipartisan momentum for digital asset legislation is building. A high-level White House meeting on February 10th was held to address the deadlock over the Clarity Act.²

According to Summer Mersinger of the Blockchain Association, this second-ever crypto meeting at the White House achieved "meaningful momentum toward delivering bipartisan digital asset market structure legislation."³

This legislative progress suggests a smoother outlook for wider future adoption, even as the crypto market currently faces immense outflows. There remains a distinct separation between current price action and the long-term trend of adoption.

MicroStrategy's valuation has plummeted, losing 30% in the last month and over 72% since its July 2025 peak. This dramatic decline reflects investor apprehension about the firm's ability to weather ongoing declines in Bitcoin's price.

The company's core business — providing a platform for traditional investors to acquire Bitcoin treasury — is now under scrutiny. With an average Bitcoin acquisition price of circa $76,000⁴, falling prices have prompted investors to question the company's ability to maintain normal operations and issue dividends.

Despite the turmoil, CEO Michael Saylor remains resolute. He plans to restructure funding using preferred shares⁵ and stated his unwavering commitment to the firm's portfolio, insisting, "even if Bitcoin prices fall 90% for the next four years, we will restructure debt," and refusing to sell the holdings⁶.

Under Chair Paul Atkins, the SEC made a historic policy shift, dismissing or closing more than a dozen major crypto-related cases, including parts of the litigation against Binance and Coinbase. This move effectively signaled an end to the era of "regulation by enforcement."⁷

However, this dramatic policy U-turn has provoked sharp criticism from Democrats, who argue that it could damage the credibility of the crypto asset class⁸. The reaction was exacerbated by cases such as that of TRON creator Justin Sun, whose close reported ties to the Trump family fueled further outrage among House speakers.

Solana, the 7th largest cryptocurrency, is significantly upgrading its infrastructure, notably with the introduction of its Firedancer update to boost efficiency, speed, and resilience.

Following this, the development is heavily focused on enhancing tokenization and payment solutions. A key initiative is the integration of tokenized traditional financial assets, bridging the gap between traditional finance and the decentralized crypto ecosystem.

Leveraging Solana's low-cost, high-throughput network, users can now access tokenized versions of popular assets⁹, such as the Nasdaq 100-tracking QQQ, the S&P 500-tracking SPY, and shares of companies like Nvidia and Tesla. This aims to position Solana as a leading layer-one solution for both institutional and retail financial activities.

Support levels:

• $1,650 to $1,750 pre-bounce 2025 key support
• 2025 bottom support $1,380 to $1,500
• 2025 lows $1,384

Resistance levels:

• $2,100 to $2,300 June war support, now key pivot
• $2,500 to $2,700 June 2025 key support now minor resistance
• $3,000 to $3,200 December resistance
• $3,500 (+/- $50) key resistance
• $4,950 new all-time highs

Support levels:

• $60,000 to $63,000 main 2024 support (immediate test)
• $52,000 to $58,000 next support and 200-Week MA
• $40,000 key psychological level
• $2023 breakout base $25,000 to $34,000

Resistance levels:

• $75,000 key long-term pivot
• $80,000 to $83,000 mini-resistance
• $90,000 to $95,000 pivotal resistance
• Current all-time highs $126,250

Support levels:

• $76 to $82 major 2022 pivot
• $69 February lows
• $50 psychological level

Resistance levels:

• Major momentum pivot $115 to $120
• $125 to $130 2026 base resistance
• $140 to $150 major resistance
• $253 cycle highs

Footnotes:

1 - binance.com/en/square/post/02-11-2026-0-73-290340863263025#:~:text=The%20latest%20report%20from%20Grayscale,a%20traditional%20safe-haven%20tool.

2 -https://news.bitcoin.com/white-house-convenes-crypto-leaders-banks-policymakers-for-market-structure-talks/

3 - https://theblockchainassociation.org/statement-on-todays-second-white-house-meeting-on-market-structure-legislation/

4-https://finance.yahoo.com/news/microstrategy-now-down-4-5-172755426.html

5- https://coinpaper.com/14544/mstr-shares-slide-5-as-bitcoin-funding-moves-to-preferred-capital

6 - https://www.morningstar.com/news/marketwatch/2026021082/what-if-bitcoin-prices-fall-to-8000-michael-saylor-says-strategy-still-wont-sell

7 - https://www.sec.gov/featured-topics/crypto-task-force

8- https://www.coindesk.com/policy/2026/02/11/sec-s-paul-atkins-grilled-on-crypto-enforcement-pull-back-including-with-justin-sun-tron

9 - https://solana.com/tokenized-equities