7 Major Reasons Crypto Prices Are Falling Drastically Until 2026, BTC, ETH, XRP & DOGE are Slumping

Jakarta, Pintu News – The cryptocurrency market showed strong selling pressure in early February 2026, with Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), and Dogecoin (DOGE) hitting multi-month lows due to a combination of technical and macroeconomic factors.

This price drop not only affects the value of digital assets, but also reflects the bearish market sentiment and increased risk for both retail and institutional investors. Here are seven key reasons that explain why the crypto market is under severe pressure.

1. Back-to-back Sell-Offs in the Crypto Market

The last few sessions have seen the prices of most crypto assets drop in succession. Bitcoin briefly approached the US$70,000 area, while XRP and DOGE even lost their important support levels. These declines reflect strong short-term selling pressure and a lack of aggressive buyers at current price levels. This accelerated the downward momentum and boosted the bearish sentiment in the market.

From a technical perspective, breaks below key support levels often trigger follow-on selling, as trading and stop-loss algorithms are triggered once important technical psychological levels are broken.

Also Read: 5 Crypto that Whale is Eyeing in February 2026, Quietly Accumulating Amid Volatility

2. Intense Margin and Derivatives Liquidation

The selling pressure brought a very high amount of liquidation of leveraged positions on many exchanges. In one wave of market pressure, hundreds of millions of dollars of long positions were wiped out as prices fell sharply. This liquidation created a domino effect, accelerating the price drop further.

Traders who use high margins are usually in the most vulnerable position, so volatile movements magnify the impact on market equilibrium.

3. Global Risk Sentiment Increases

Traders often treat cryptoassets as high-risk instruments, so when global markets experience a risk-off shift, cryptoassets tend to fall alongside tech stocks and other equities. Macroeconomic uncertainty, including expectations of tighter monetary policy, encourages investors to exit risky assets.

When the US dollar index strengthens or interest rates remain high, demand for non-yielding assets like crypto may weaken.

4. Pressure on Major Assets and Altcoins

Bitcoin’s falling price is often an early signal for altcoins such as Ethereum, XRP, and Dogecoin to follow the downtrend. XRP recorded a drop of more than 7 percent below the US$1.40 level in a single session, while Ethereum and DOGE continue to check critical support levels.

As Bitcoin often influences price correlations across the market, pressure on BTC tends to trigger similar declines in other altcoins.

5. Weakened Market Liquidity

The crypto market currently exhibits thin liquidity, especially at key price levels, making each wave of selling more impactful compared to normal market situations. When order books are less deep, large orders can trigger larger than normal price movements.

Low liquidity also means fewer buyers are ready to withstand a sharp drop, triggering additional pressure on prices.

6. Regulatory Uncertainty

Delays or ambiguities in regulatory policies often increase market uncertainty, making investors hesitant to take new positions or extend existing ones. When news regarding crypto market legislation is delayed, this can also contribute to price drops.

The uncertain regulatory environment makes many institutional investors reluctant to fully commit to digital assets, which reduces the support of large capital.

7. Lack of Short-term Bullish Sentiment

In periods of market stress, technical indicators show strong downward momentum with no clear short-term reversal signals. New technical price drop targets are set below key supports for many assets, reflecting the lack of bullish reinforcement.

Without positive fundamental news or a clear new catalyst, markets tend to maintain a downward bias until sentiment turns stronger.

Also Read: 3 Crypto Underrated in February 2026 that Investors are Starting to Look at, Not Just Hype!

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*Disclaimer

This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Crypto trading activities are subject to high risk and volatility, always do your own research and use cold hard cash before investing. All activities of buying and selling Bitcoin and other crypto asset investments are the responsibility of the reader.

Reference

• Finance Magnates. Why Crypto Is Going Down? XRP Price, Bitcoin, Ethereum and Dogecoin Moves Today to 2026 Lows. Accessed February 6, 2026.