Ethereum

Ethereum has fallen from above $3,000 to around $2,100, and several market analysts argue that the decline may not be over. Some see key levels around $2,000 and an MVRV band near $1,959 as potential bottom zones, while others map out scenarios that include both a rebound toward $3,600 and a possible drop to $1,500 by summer 2026.

Arbitrum said it regained access to its governance X account late Tuesday evening after hackers took it over earlier in the afternoon. The team plans to review security procedures following posts that promoted a fake airdrop. Separately, a Jan. 5 incident involving two Arbitrum-linked projects led to an estimated $1.5 million in unauthorized withdrawals.

From January 1 to February 4, 2026, BlackRock's net digital asset holdings declined from $78.36 billion to $68.06 billion, a drop of $10.3 billion largely tied to market weakness. Bitcoin and Ethereum accounted for most of the change, alongside a reduction of 2,930 BTC and 138,240 ETH, while recent single-day moves saw BlackRock driving the majority of U.S. Bitcoin spot ETF and Ethereum redemptions.

According to the analysis, as of Wednesday Ether entered the breakdown phase of an inverse cup‑and‑handle, putting a February move toward $1,665–$1,725 in play. Chartswatcher reports an 82% hit rate for this setup’s downside targets, while Glassnode’s MVRV bands highlight support near $1,725, implying risk of a print below $2,000.

On Tuesday, spot Bitcoin ETFs posted $272 million in net outflows, pulling assets under management below $100 billion for the first time since April 2025, according to SoSoValue. Bitcoin fell under $74,000 and the crypto market cap declined from $3.11 trillion to $2.64 trillion over the past week, per CoinGecko, while Ether-, XRP- and Solana-linked ETFs saw $14 million, $19.6 million and $1.2 million in inflows.

Ethereum co-founder Vitalik Buterin recently signaled a shift toward specialized Layer 2 designs beyond pure scaling. In that context, SUBBD Token ($SUBBD) positions itself as an AI-driven creator platform; the project reports over $1.47M raised in presale at $0.05749 per token, and advertises 20% APY staking with VIP perks.

Coin Metrics reported that stablecoin dust activity on Ethereum rose 2–3x after the Fusaka upgrade in December, based on an analysis spanning November 2025 through January 2026. Across 227 million USDC and USDT balance updates, 43% were under $1 and 38% were under a penny, while dusting was estimated to be 11% of transactions and 26% of active addresses on an average day.

On a Tuesday post on X, Ethereum co-founder Vitalik Buterin said his earlier view of layer-2 networks as the main path for scaling “no longer makes sense,” citing their limited decentralization and growing base-layer capacity. He now favors expanding Ethereum’s mainnet through gas-limit increases and native rollups, while suggesting L2s focus on specialized use cases instead of serving as the core scaling engine. Developers are already discussing raising the gas limit from 60 million to 80 million, and researcher Justin Drake has outlined a roadmap targeting 10,000 transactions per second on Ethereum over the next decade.

On February 3, the crypto market saw a sharp sell-off as Bitcoin briefly fell to the $72,000 area before rebounding to around $77,000–$78,000. Over $2.5 billion in positions were liquidated within 48 hours, with more than $700 million wiped out in a single day and most losses hitting overleveraged longs. Ethereum dropped toward the $3,600–$3,800 range, while major altcoins like Solana and BNB recorded double-digit intraday declines amid heavy spot selling and extreme fear in sentiment indicators.

Vitalik Buterin moved 705 ETH, including a 493 ETH transaction valued at about $1.16 million after an earlier 211.84 ETH swap. The activity prompted concern, but it aligns with his recurring practice of converting ETH to stablecoins for charitable initiatives, notably funding Kanro and other research-focused projects. Ethereum traded near $2,274 with mixed technical signals.