New York, Feb 3, 2026, 11:07 EST — Regular session
Shares of Robinhood Markets slipped 1.1% to $88.94 in early Tuesday trading, after fluctuating between $87.61 and $91.60 earlier. Bitcoin dropped roughly 1.2% to $77,763, adding pressure on crypto-related stocks.
The move highlights Robinhood’s vulnerability to swift shifts in retail sentiment, with volumes dropping sharply whenever customers grow wary.
Following Monday’s steep drop, investors are debating if the stock is just mirroring crypto moves or if there’s a bigger story unfolding. Either way, the upcoming earnings will carry extra weight this time around.
Robinhood plunged 9.62% on Monday, closing at $89.91 on volume hitting about 59 million shares—more than twice its recent average. The S&P 500 and Nasdaq Composite both pushed higher, while competitors Charles Schwab and Interactive Brokers gained ground. Robinhood’s revenue leans heavily on payment for order flow, fees from trading firms for handling customer orders, so trading activity often sets the tone.
Bitcoin investors have dumped $2.56 billion in recent days, according to CoinGlass, as cryptocurrencies plunged amid a wider risk-off selloff hitting stocks and precious metals. “People taking a step back … reassess their risk frameworks,” said Adam McCarthy, senior research analyst at Kaiko. David Morrison, senior market analyst at Trade Nation, noted, “Investors were looking for an excuse to lighten up.” Reuters
Robinhood’s share price has tumbled more sharply than crypto exchange Coinbase’s, raising fresh doubts about retail investors’ risk appetite, Mizuho’s Daniel J. O’Regan noted. “Meme stocks, Silver, Crypto, Spec assets have been under pressure,” he said, though he wasn’t sure to what extent this would curb Robinhood’s trading volumes. The slide below the stock’s 200-day moving average — a key long-term indicator — likely intensified the selloff. Investing.com
Piper Sandler maintained its Overweight rating and $155 price target on the stock but cautioned that slowing crypto volumes and the conclusion of football season might dampen activity in Robinhood’s prediction markets, TheStreet reported. The firm also pointed out Robinhood’s beta at 2.45, highlighting the stock’s volatility relative to the broader market.
The risk for bulls lies in crypto’s two-sided volatility. Sharp swings draw traders in, yet a sustained drop tends to dampen activity, which quickly dents transaction revenue.
Robinhood will probably keep an eye on crypto prices and watch for any pullback from retail traders. A quieter market might ease pressure, but the next meaningful data is still on the horizon.
Robinhood plans to release its fourth-quarter and full-year 2025 earnings after the market closes on Feb. 10. The company will hold a video call at 5 p.m. ET featuring CEO Vlad Tenev and incoming CFO Shiv Verma. Shareholders can start submitting and upvoting questions for the call from Tuesday until Feb. 9, the firm announced.
