NEW YORK, February 1, 2026, 07:00 EST
Bitcoin dipped under $80,000 on Saturday, dropping roughly 6.5% to $78,719, pressured by a stronger dollar after Donald Trump named Kevin Warsh to head the Federal Reserve. Ether tumbled nearly 12%, hitting around $2,388. “Sometimes these price adjustments feed on themselves,” said Brian Jacobsen of Annex Wealth Management, cautioning that further selling might be ahead. (Reuters)
Bitcoin’s recent drop has dragged it back to levels not seen since April 2025, deepening a decline that has erased over 30% of its value. Factors that previously boosted crypto—like a weaker dollar and gold hitting record highs—have barely made a dent this time. Meanwhile, delays in U.S. crypto “market-structure” rules, which set the regulatory framework for trading, have dampened investor interest. (The Financial Express)
A CNBC report noted retail traders are still digesting a volatile week in commodities, marked by a sharp silver reversal. Bitcoin slipped below $78,000 in afternoon trading, with ether and Solana tumbling roughly 11% and 13%, respectively. The network cited the Warsh pick as a factor boosting the dollar, which tends to reduce bitcoin’s appeal as an alternative currency. (LinkedIn)
The selloff was fueled by leverage. “Liquidations” — forced closures of futures positions when traders run out of margin or collateral — surged past $1.6 billion in the last 24 hours, according to Coinglass. Investors also yanked nearly $1.5 billion from U.S. bitcoin exchange-traded funds this week, Farside Investors data revealed. BlackRock, Fidelity Investments, and Grayscale Investments were among the firms offering these products. (DL News)
The crypto slump followed a sharp reversal in precious metals. Spot gold dropped 9.5% on Friday, while silver plummeted nearly 28% after hitting record highs just a day before. Analysts pegged the moves to profit-taking, spurred by a stronger dollar. “The market was due for a correction,” said Suki Cooper, global head of commodities research at Standard Chartered Bank. Nicky Shiels of MKS PAMP SA described January as “the most volatile month” ever for precious metals. (Reuters)
According to CoinGecko, the wider crypto market lost around $111 billion in value over the last 24 hours, with liquidations hitting about $1.6 billion during that period. Louis Navellier of Navellier & Associates noted, “Silver and gold have become the vehicle for investors concerned about fiat currencies.” Meanwhile, John Todaro from Needham & Company reported “pretty extreme disinterest” among retail investors. (mint)
$80,000 has become a key psychological barrier, with some analysts saying the recent selloff signals risk aversion rather than a flaw in crypto’s core. Linh Tran of XS.com pointed out that bitcoin’s slump doesn’t undermine its fundamentals. Warsh, who’s previously spoken favorably about bitcoin, remains on the list of factors that could shift sentiment if the dollar weakens or buyers step back in. (MarketWatch)
Outside of crypto, Berkshire’s portfolio is seeing some changes. CNBC’s Warren Buffett Watch newsletter reports American Express is closing in on Apple as Berkshire’s largest listed-stock holding. Apple’s lead shrank to $4.3 billion last Friday but then stretched back out to $8.4 billion this week. Berkshire has offloaded about 75% of its Apple shares, while American Express has surged past Apple with a 106% gain compared to 35% over the last two and a half years. After share buybacks, Berkshire now holds roughly 22% of American Express’s stock, according to the newsletter. (Cnbc)
