NEW YORK, Feb 3, 2026, 14:26 (EST)
Robinhood shares dropped 9.62%, closing at $89.91 on Monday, dragged down by bitcoin’s slide even as the broader market gained. The retail broker, which earns most of its revenue from payment for order flow — fees for routing customer trades — faced investor concerns that the crypto slump could dampen trading volumes. Trading volume surged to 59 million shares, roughly 136% above its three-month average. Meanwhile, Charles Schwab and Interactive Brokers Group both closed higher.
Robinhood’s stock dropped just a week ahead of its quarterly earnings report, which investors view as a key indicator for crypto trading and newer product performance. The company plans to release its fourth-quarter and full-year 2025 results on Feb. 10 after the market closes. A video call with CEO Vlad Tenev and incoming CFO Shiv Verma will follow at 5 p.m. ET. Shareholders will be able to submit and upvote questions from Feb. 3 through Feb. 9 via a Q&A platform managed by Say Technologies, the company said.
Crypto markets took a hit amid a broader risk-off mood hitting stocks and precious metals, with bitcoin traders liquidating $2.56 billion in the past few days, according to CoinGlass data. Bitcoin dropped over 6% on Saturday, settling near $78,396. David Morrison from Trade Nation noted investors were “looking for an excuse” to shed risk, while Adam McCarthy at Kaiko described the move as some “taking a step back.” Jim Ferraioli of Schwab Center for Financial Research pointed to “outside forces” as the main threat, and Bitfinex analysts blamed thin weekend liquidity for amplifying the sell-off. Reuters
U.S. stocks closed higher Monday, led by a 1.1% gain in the Dow. The S&P 500 rose 0.5%, while the Nasdaq composite added 0.6%, boosted by a manufacturing report that beat forecasts, the Associated Press reported.
Crypto-related stocks remained under pressure. According to The Wall Street Journal, Coinbase fell for the 10th day in a row as investors remained cautious despite bitcoin recovering from weekend lows.
Robinhood’s shares have surged over 70% in the past year, according to a column on Nasdaq’s site by The Motley Fool, buoyed by stronger revenue gains and improved profits. The article noted the company had 26.8 million funded customers at the close of Q3 2025 and saw its Gold subscriber count rise to 3.9 million.
Piper Sandler stuck with its Overweight rating and $155 price target for Robinhood but warned of short-term headwinds, including weaker crypto trading volumes and a drop in prediction-market revenue as football season wraps up, according to TheStreet. The firm also pointed to Robinhood’s high beta — a gauge of how much the stock swings compared to the broader market — as a factor behind its potentially sharp moves up or down.
That sensitivity swings both ways. If crypto prices bounce back or retail trading heats up, transaction-based revenue could get a boost. On the flip side, a prolonged slump might keep customers away, squeezing fee income.
A separate analysis from Motley Fool pointed out that Robinhood attracts more customers trading cryptocurrencies and options than many traditional brokers, which can magnify market volatility. It also highlighted that crypto trading runs 24/7, meaning price moves over the weekend often carry into Monday’s session for stocks tied to crypto.
Investors will be closely monitoring the Feb. 10 call for fresh details on crypto trading and early clues about February volumes, plus insights on market conditions. Monday’s decline underscored how quickly changes in risk appetite can hit Robinhood’s stock price—often ahead of the quarterly results.
