The crypto market is under heavy selling pressure this Thursday, with Bitcoin and Ethereum leading the slide as prices sink across the board. Total crypto market capitalization is down more than 6%, reflecting a clear risk-off mood among investors.
Bitcoin briefly slipped below the $72,000 level, falling nearly 5%, while Ethereum has struggled to stay above $2,100 after dropping 4.66%. The pain has been most concentrated in centralized finance (CeFi), which is down 6.05%, weighed heavily by sharp losses in Binance Coin and Nexo.
That said, it’s not red everywhere. A few smaller tokens are bucking the trend: White Whale (WHITEWHALE) is up more than 28%, while River (RIVER) has gained 13.69%, offering brief pockets of relief in an otherwise weak market.
With macro uncertainty, thinning liquidity, and continued institutional outflows, traders are watching closely to see whether key technical support levels can hold.
But there’s more happening across crypto today. Here are the latest developments 👇
Aperture Finance Exploiter Moves Funds Through Tornado Cash
The attacker behind the Jan. 25 Aperture Finance exploit has funneled 590.7 ETH, worth roughly $1.25 million, into Tornado Cash, according to on-chain data.
The funds stem from an attack in which a proxy module was manipulated to bypass validation checks, allowing the exploiter to execute malicious calldata and drain assets before routing them through the privacy mixer.
Multicoin-Linked Wallets Appear to Rotate From ETH Into HYPE
Wallets believed to be connected to Multicoin Capital appear to be shifting exposure away from Ethereum and into HYPE, based on blockchain monitoring data.
Since Jan. 22, a Galaxy Digital deposit address linked to Multicoin has received 87,100 ETH, worth around $220 million. Shortly after, a suspected Multicoin wallet began withdrawing roughly 1.35 million HYPE—valued at more than $46 million—from Galaxy.
Arkham analyst Emmett Gallic said the on-chain flows align with the wallet activity being tracked.
Crypto Fear & Greed Index Drops to 11
Investor sentiment continues to sour. The Crypto Fear & Greed Index has fallen to 11, signaling extreme fear.
Data from CoinMarketCap shows the index is down three points from the previous day, with a seven-day average of 14 and a 30-day average of 28, highlighting persistent caution across the market.
Michael Burry Says Bitcoin May Be Repeating Its Last Cycle
“Big Short” investor Michael Burry warned that Bitcoin could be replaying the same boom-and-bust patterns seen between 2020 and 2022.
In a recent post, Burry questioned why the 2024–2026 cycle would turn out differently, arguing that Bitcoin failed to act as a market backstop during the 2023 banking crisis, a role he said was instead filled by the AI trade. He suggested Bitcoin remains driven largely by liquidity and speculation rather than sustained, organic demand.
Crypto Firms Seek Middle Ground With Banks on Stablecoins
As negotiations stall over stablecoin rules in a broader U.S. crypto market-structure bill, crypto firms are pitching compromise solutions to banks, according to Bloomberg.
Proposals reportedly include placing portions of stablecoin reserves with community banks and allowing banks to issue their own stablecoins through partnerships. The aim is to ease concerns around deposit flight—but so far, no deal has been reached.
