Today's Cryptocurrency News (February 3) | Bitcoin Reclaims $78,000; xAI is Hiring Cryptocurrency Financial Experts

This article summarizes cryptocurrency news as of February 3, 2026, focusing on the latest Bitcoin updates, Ethereum upgrades, Dogecoin trends, real-time crypto prices, and price forecasts. Major Web3 events today include:

1. Ripple’s Custody Technology Lands in the Middle East, $280 Million Diamonds On-Chain, XRP Ledger Opens New RWA Track

Billiton Diamond and tokenization technology company Ctrl Alt announced that they have completed a diamond asset on-chain project in the UAE worth over $280 million, mapping certified polished diamonds to on-chain tokens, with enterprise-level custody support provided by Ripple, and issuance and transfer completed on the XRP Ledger. This marks a significant step for the Middle East in the physical asset tokenization field.

The two companies revealed that more than 1 billion dirhams worth of diamond inventory has been digitized, with tokens directly corresponding to physical stock, secured through custody structures. The solution not only improves settlement efficiency but also enhances traceability of diamond sources and ownership, providing a more transparent entry point for institutional participants.

However, whether the project can enter a broader market stage still depends on approval from Dubai’s Virtual Assets Regulatory Authority (VARA). Any future releases aimed at more investors will need to proceed within a compliant framework. Ctrl Alt stated that the project is still in a controlled pilot phase, with plans to gradually improve custody, transfer, and secondary market readiness.

Unlike traditional commodity tokenization, this model positions Ripple as the underlying infrastructure provider rather than a market matching platform. Industry insiders point out that the real challenge lies not in token issuance itself but in achieving stable pricing, low spread circulation, and clear redemption paths. Details on minimum trading units, per-token pricing, and redemption mechanisms have not yet been disclosed.

Dubai Multi Commodities Centre (DMCC) said it is connecting industry parties to foster the formation of a commodity RWA ecosystem. As the UAE accelerates its integration of digital and physical assets, such high-value on-chain cases could become key pillars in the Middle East’s fintech landscape.

2. CZ: Surviving in the Crypto Market Is More Important Than Growth—“Stay Alive” Is the Key

CZ recently stated in an AMA that in highly volatile and cyclical crypto markets, “survival” is more important than “growth.” He bluntly said that reckless expansion and aggressive strategies often amplify systemic risks, and those who can survive cycles are those who prioritize risk control, cash flow, and stable operations. This view quickly sparked discussion in the crypto community and prompted traders to reconsider their risk boundaries.

CZ pointed out that past crises in the crypto industry have often stemmed from excessive leverage, liquidity mismatches, and uncontrolled scale. During sharp market fluctuations, these structural flaws are magnified, and even small shocks can trigger chain reactions. He emphasized that the ability to operate under extreme conditions is the core standard for measuring the success of an institution or project.

On risk management, CZ advocates self-discipline and simplified decision-making processes to avoid emotional trading. He prefers market-tested asset allocations and believes patience and discipline are key to long-term returns. His publicly discussed holdings of BTC and BNB are seen as proof of robust strategies across multiple cycles.

From an ecosystem perspective, a platform’s survival ability directly impacts user trust and market stability. In cases of bank runs or reserve shortages, panic can spread rapidly and even affect the entire industry. Regulators also value resilient and compliant institutions, making “lasting power” a prerequisite for attracting institutional funds and long-term cooperation.

CZ finally urges market participants to abandon short-term speculation and focus on sustainable models. Bull markets reward risk-takers, but cycle downturns also punish complacency. Only by remaining cautious, maintaining liquidity, and controlling risks during turbulent times can one stay in the game for the next wave.

3. Tom Lee: Bitcoin Has Bottomed Out, Parabolic Rally May Begin, Bullish Signals Fully Emerge

Renowned market strategist Tom Lee recently sent a strong bullish signal on CNBC, stating that Bitcoin has completed its bottoming phase and that further downside risks are rapidly diminishing. He pointed out that the market structure has substantially improved, with price volatility narrowing and buying and selling forces balancing, often a precursor to a new upward cycle.

On-chain and market performance show that after retracing from previous highs, Bitcoin has repeatedly found support at key levels, with panic selling cooling off and downward momentum weakening. Meanwhile, network activity and liquidity are rebounding, indicating genuine demand is recovering. Ethereum shows even stronger momentum, with rising prices and daily trading volume, injecting confidence into the overall crypto market.

Institutionally, digital assets are accelerating integration into traditional finance. Related ETF products continue to attract funds, significantly improving market depth and liquidity. Tom Lee believes this structural change is reshaping the long-term value logic of cryptocurrencies and providing a more solid foundation for price appreciation. As capital sources diversify, selling pressure needed for a sharp decline has notably decreased.

Investor sentiment is quietly shifting. Retail risk appetite is warming, institutional allocations are gradually increasing, and panic indicators are falling to recent lows. Historical experience suggests that when markets transition from extreme caution to cautious optimism, a trend reversal is often underway. Lee believes the current pattern closely resembles the early stages of previous bull markets.

For the short term, Lee expects prices to fluctuate but with an overall upward bias. He emphasizes that the synchronized improvement in fundamentals, capital flows, and sentiment creates conditions for accelerated gains. If key resistance levels are broken effectively, the market could enter a more explosive parabolic phase.

4. Elon Musk Predicts “Universal High Income” Era Is Coming? Bitcoin Community Remains Cautious

Elon Musk recently stated during a discussion on savings and wealth that with rapid AI development, human society may enter an “all-people high-income” era, potentially reshaping traditional wage systems. He believes large-scale automation will cover most jobs, exponentially increasing productivity and bringing unprecedented material abundance. In such a future, people might no longer need to save long-term as before, and poverty could gradually disappear.

Musk’s remarks drew widespread attention. Some see it as a typical expression of technological optimism, believing that an AI-driven economy could redistribute wealth; others point out that economic transitions often involve pain, with instability and institutional friction amplifying risks in the short term. Debates around timelines, implementation paths, and incentives quickly spread across tech and finance circles.

In the crypto space, especially among Bitcoin supporters, this view faces cautious skepticism. Bitcoin advocates emphasize scarcity and fixed supply, arguing that reliance on “universal distribution” models risks centralization and inflation. They trust individual sovereignty and verifiable monetary rules more than institutional promises. To them, universal basic income often entails currency expansion, while Bitcoin is seen as a long-term hedge against uncertainty.

Additionally, the risks of automation replacing jobs and delayed income redistribution are frequently discussed. Historical experience shows policy promises and market changes often have a time lag, and savings and risk hedging remain vital parts of personal finance. Many crypto investors thus continue to adhere to a “self-protection” logic.

Musk’s vision of abundance reflects a radical imagination of future society driven by technology; the cautious stance of the Bitcoin community highlights long-term concerns about institutional stability and inflation risks. The collision of these perspectives reveals core disagreements about wealth, governance, and trust in the AI era.

5. Bitcoin Reaches $78,000 Again! ETF Attracts $561 Million, Institutional “Bottom-Fishing Signal” Reappears?

Bitcoin rebounded after consecutive declines, rising about 4% in the past 24 hours to re-approach the $78,000 mark. Previously, large-scale sell-offs triggered chain reactions of liquidations, and short-term sentiment was under pressure. Recent capital movements, however, have injected new vitality into the market.

A key driver of this rebound is the US spot Bitcoin ETF. Data shows that related products saw a net inflow of about $561 million in a single day, ending prior outflows. Notably, Fidelity’s FBTC received $153.35 million, and BlackRock’s IBIT recorded $141.99 million in net inflows. Institutional funds warming up are seen as recognition of the current price range and provide direct buy support for the spot market.

Meanwhile, corporate-level funds continue to increase their holdings. Despite some Bitcoin treasury stocks under pressure, Michael Saylor’s Strategy added about 75,000 BTC, demonstrating long-term conviction. Such persistent buying reinforces market expectations of a “bottoming” by institutions.

Derivatives market activity is also noteworthy. Data shows total trading volume declined to $75.27 billion, while open interest slightly rose to $51.47 billion, indicating leverage speculation is cooling and some funds are shifting to more cautious positioning. CryptoQuant analysts note that funding rates have been negative for several days, often signaling the end of a bearish phase, but also possibly entering a longer consolidation period.

However, disagreements remain. Peter Brandt believes the decline is not fully over and that Bitcoin could retest the $66,000 level. Others point out that Bitcoin has yet to fill the near $84,000 gap, so short-term upside may still be limited.

In the context of high macro uncertainty, this rebound appears more like a corrective move. Capital flows, institutional attitudes, and derivatives structure will be key to judging future trends.

6. Elon Musk: Maybe SpaceX Can Send Dogecoin to the Moon Next Year

A user from Tesla Owners Silicon Valley on X rediscovered Elon Musk’s 2021 tweet stating “SpaceX will send a real Dogecoin to the real Moon,” and asked Musk “When?” Musk replied: “Maybe next year.”

7. “The Downturn Cycle Is Over?” Cathie Wood Denies Bitcoin’s Four-Year Cycle, Targets $16 Trillion Market Cap by 2030

ARK Invest CEO Cathie Wood recently challenged the long-standing four-year cycle theory of Bitcoin in an interview. She said that the recent market correction was much smaller than historical levels, and that the current dip may already be over, with the market building strength for a new rally.

Recently, Bitcoin’s price fell to about $77,777, with a nearly 11% decline over the past week, a significant retracement from the October 2025 high of $124,700. While this has caused anxiety among retail investors, Wood believes that the $80,000 to $90,000 range is more of a key support zone than a trend reversal signal. She pointed out that the current correction of about 30% is smaller than the typical 70%–80% deep retracements seen in historical cycles, indicating a more mature market structure.

Technically, short-term momentum indicators remain weak, with MACD continuing downward, reflecting ongoing adjustment pressure. However, the Relative Strength Index (RSI) has entered oversold territory, often a sign of a potential bottom forming. Meanwhile, Bitcoin’s market share remains near 60%, showing that capital is still concentrated in leading assets, and risk appetite has not fully waned.

Long-term, Wood remains highly confident. She believes Bitcoin is competing with gold for the “store of value” status. Data shows Bitcoin has gained about 360% since 2022, compared to roughly 170% for gold. She sees this gap as evidence that institutional and long-term investors are re-pricing the role of digital assets.

ARK further predicts that with increasing scarcity and global adoption, Bitcoin’s potential total market cap by 2030 could reach $16 trillion, far above current levels. Wood emphasizes that short-term volatility is just a small part of a larger structural shift, and the real trend is still in the making.

8. xAI Is Hiring Crypto Financial Experts, $45–$100 per Hour, Focused on Quantitative Trading, On-Chain Analysis, and AI Model Training

According to data from xAI’s official recruitment page, xAI is hiring a Crypto Finance Expert (remote), paying $45 to $100 per hour. The role involves directly participating in training, evaluating, and optimizing cutting-edge AI models, providing high-quality crypto market annotations, quantitative analysis, and expert reasoning data.

Job responsibilities include: on-chain data and fund flow analysis, DeFi yield and liquidity modeling, perpetual contract and funding rate strategies, cross-market arbitrage between CEX/DEX, crypto market microstructure and MEV research, machine learning-driven alpha signals, and portfolio management and risk control in highly volatile 24/7 markets. Producing professional analysis in text, audio, and video formats for AI training and benchmarking is also required.

xAI seeks candidates with backgrounds in quantitative finance, computer science, statistics, or related fields, or with extensive experience in crypto quantitative trading, systematic strategies, or on-chain analysis, and familiarity with mainstream crypto data platforms and on-chain tools. This position will deeply involve the intersection of AI and crypto finance, serving as an important part of xAI’s expansion into digital assets and quantitative research.

9. Trump Denies Knowledge of Abu Dhabi’s $500 Million Investment in World Liberty, Bitcoin “Whale Addresses” Shrink by 25,000 in a Year

U.S. President Donald Trump responded to reports about Abu Dhabi’s investment in the crypto platform World Liberty Financial, claiming he was “completely unaware,” and said that family members are handling related matters. Earlier reports indicated that Abu Dhabi royal Sheikh Tahnoun bin Zayed Al Nahyan invested $500 million through affiliated entities to acquire a 49% stake, sparking widespread discussion on foreign influence and the Trump family’s business ties.

The funds were reportedly injected by Aryam Investment, with an initial $250 million, of which about $187 million went to entities related to Trump’s family, and the rest to companies associated with Zach Folkman and Chase Herro. If the deal completes, Aryam will become the largest shareholder. World Liberty Financial was founded by nine people including Trump and his children, and its structure has been questioned by lawmakers.

This event also ignited political debate in Washington. Senator Elizabeth Warren called for suspending the company’s banking license review until Trump divests his holdings, but the U.S. Office of the Comptroller of the Currency said it would evaluate according to standard procedures. Meanwhile, Sheikh Tahnoun’s Group 42 has been approved to purchase advanced chips, increasing its regulatory profile in the U.S.

Notably, despite a generally friendly stance toward crypto in the U.S., on-chain high-net-worth Bitcoin addresses continue to decline. Data shows that over the past year, wallets holding at least $1 million in Bitcoin decreased by about 16%, roughly 25,000 addresses; those holding over $10 million declined by 12.5%. This indicates that policy expectations have not yet translated into stable on-chain wealth expansion.

Market observers suggest that the related controversy and capital flow changes may intensify cautious attitudes toward crypto governance and transparency.

10. Bitcoin ETF Investors Suffer $800 Million Loss in Two Weeks, $3 Billion Withdrawn, Price Pressure Intensifies

As Bitcoin (BTC) continues to weaken, U.S. spot Bitcoin ETF investors are under significant pressure. On-chain data from Glassnode shows that the average entry price for these investors is about $84,100, while current BTC prices have fallen to around $78,000, with weekend lows below $75,000, increasing unrealized losses to 8–9%. For funds entered through compliant financial products, this retracement tests long-term confidence.

After prices fell below the “ETF cost band,” capital flows quickly reversed. Over the past two weeks, U.S. spot Bitcoin ETFs saw net outflows of about $2.8 to $3 billion, with consecutive weekly redemptions exceeding $1 billion. On January 21, 29, and 30, daily net outflows reached $708 million, $818 million, and $510 million respectively, indicating persistent selling pressure. Although a brief inflow of about $420 million occurred on February 2, it was insufficient to reverse the overall trend.

Major outflows are concentrated in larger products. Analyst Jamie Coutts notes that there is no clear “buy-the-dip” pattern currently; institutional net demand mainly comes from a few cash-rich balance sheet buyers, which cannot sustain a long-term price recovery.

On a macro level, BTC has fallen over 35% from its peak of about $126,000 in 2025. Liquidity contraction, tightening financial conditions, and decoupling from traditional safe-haven assets have left the market lacking new upward momentum. Bloomberg quotes senior analyst Sean Rose of Glassnode, saying investors are waiting for clearer macro signals and signs of price stabilization before increasing holdings.

Without new capital inflows, improved liquidity, or structural positive catalysts, the cycle of ETF outflows and price declines may continue. However, the total assets of U.S. spot Bitcoin ETFs remain around $104.48 billion, indicating that long-term capital still exists, and future direction depends on whether market confidence can be restored.

11. Vitalik Buterin Responds to “Sold 700 ETH”: Not Bearish, But “Feeding” Ethereum’s Future

Despite recent market sentiment recovery and Ethereum’s rebound, Ethereum co-founder Vitalik Buterin has sold over 700 ETH in on-chain transactions, attracting significant market attention. Data shows Vitalik first sold 211.84 ETH for about $500,000 USDC, transferring all proceeds to his charity Kanro. He then continued selling 493 ETH, totaling 704.84 ETH, worth approximately $1.63 million at current prices.

This is not a short-term hedge but a long-planned allocation. Vitalik previously disclosed that he had withdrawn 16,384 ETH for future “special projects” and long-term missions. He stated that the Ethereum Foundation will enter a relatively restrained development phase, and he will undertake some innovation projects previously managed by the Foundation.

These funds will support open-source and security tech in areas like financial infrastructure, communications, decentralized governance, operating systems, hardware security, and public health and biotech. Vitalik also mentioned researching more secure decentralized staking mechanisms to sustain long-term funding without relying on centralized platforms.

Kanro is his long-term charity supporting infectious disease control and public health research. As early as January 2025, Vitalik sold various tokens and donated the proceeds to this organization; the recent ETH sales continue this funding approach.

Regarding holdings, Arkham data shows Vitalik still owns about 235,268 ETH, with a market value of roughly $549 million. Although his crypto portfolio has declined significantly from previous highs, this sale did not directly impact Ethereum’s price. ETH, as the second-largest market cap asset, still moves with the market, rising about 5% in the past 24 hours to around $2,312.

12. Spot Trading Volume Halved, Demand at Low Point: Why Are Bitcoin and the Crypto Market in a “Liquidity Winter”?

Latest on-chain and market data reveal that spot crypto trading volume has fallen to its lowest since 2024, indicating weak investor demand. Analysts note that spot trading on major platforms has dropped from about $2 trillion in October 2025 to roughly $1 trillion at the end of January this year, nearly halving.

Bitcoin is currently around $78,500, down about 37.5% from its October peak. CryptoQuant analyst Darkfost states that spot demand is “rapidly drying up,” with the recent correction mainly triggered by a large liquidation event in October, and further exacerbated by liquidity tightening and risk aversion. Data from multiple platforms show synchronized declines in Bitcoin spot trading, reflecting a significant drop in capital activity.

Liquidity pressure is also evident. Stablecoin funds are flowing out of exchanges, with market cap shrinking by about $10 billion, signaling reduced risk appetite. Arctic Digital research director Justin d’Anethan notes that short-term pressures on Bitcoin stem from macro factors such as uncertain interest rate outlooks, a strengthening dollar, and rising real yields, all suppressing risk assets.

He also believes that if ETF capital flows resume, or if the U.S. enacts clearer crypto legislation, or if economic data prompts policy shifts toward easing, the market could rebound strongly. He describes the current correction as “bitter but necessary,” helping to clear excessive leverage and curb speculation.

From a cycle perspective, Alphractal CEO Joao Wedson states that Bitcoin’s true bottoming still requires long-term holders to start realizing losses. Currently, short-term holders are in loss territory, but if the price drops below the $74,000 key zone, the market could enter a deeper correction phase.

13. Ethereum’s Plunge Causes Over $6 Billion Loss in BitMine, Cathie Wood Buys $6 Million of BMNR

Amid a sharp correction in the crypto market and Ethereum being one of the main assets hit hardest, Ark Invest is taking an opposite stance. Led by Cathie Wood, the firm recently invested about $6.25 million to buy shares of Ethereum asset management company BitMine (BMNR), despite the company’s ETH holdings plunging by over $6 billion due to ETH’s sharp decline.

Data shows BitMine currently holds about $9.2 billion worth of Ethereum tokens, down more than 40% from its initial roughly $15.7 billion investment. ETH recently rebounded above $2,300 but still declined 20% over the past week and 26% over the past month, further burdening its assets. Nonetheless, Ark Invest continues to increase its holdings, indicating a long-term view on Ethereum’s ecosystem and related companies.

Besides BMNR, Ark Invest has also expanded its positions in several other crypto-related firms, with total purchases around $24 million. These include Circle, Bullish, Block Inc., and COIN, all added to the buy list. This series of moves is seen as a typical “contrarian” strategy: buying assets with long-term growth potential during significant price declines.

Ark’s actions are also aligned with BitMine’s recent continued accumulation of ETH. The company bought over 40,000 ETH last week, further cementing its status as a major Ethereum holder. For Ark, these firms are more like leveraged bets on Ethereum’s long-term value rather than short-term speculation.

Cathie Wood has repeatedly emphasized the correlation between Bitcoin and gold in cycles and believes digital assets still have cross-cycle potential. She sees the current downturn as an opportunity to reposition rather than a risk signal.

14. Hyperliquid Launches Outcome Trading Testnet, Potentially Reshaping On-Chain Derivatives

Decentralized derivatives platform Hyperliquid announced the launch of “Outcome Trading” on its testnet, introducing a full-collateralized contract model for prediction markets and event trading. Based on Hyperliquid’s proposed improvement HIP-4, it allows users to trade contracts linked to real-world outcomes within fixed price ranges, with automatic settlement after event completion.

“Outcome trading” mainly targets uncertain events like elections, sports matches, and macroeconomic data. Unlike traditional crypto derivatives, these contracts do not use leverage; traders must fully fund their positions, avoiding forced liquidations and chain reactions of margin calls. The platform states that this design makes event trading more transparent and suitable for users seeking to avoid high leverage volatility.

Mechanically, outcome trading introduces nonlinear payoff curves and time-based settlement, giving traders more flexibility to express their event judgments. It can also integrate with Hyperliquid’s existing portfolio margin system and HyperEVM, allowing developers to embed outcome contracts into other decentralized applications, expanding strategic options.

Currently, the feature is only available on the testnet and is under ongoing optimization. The team plans to launch a “standardized” market after testing, settled in USDH stablecoins, with integration of objective data sources to reduce disputes. If user feedback is positive, permissionless market creation may be enabled, allowing anyone to initiate outcome-based contracts.

Strategically, this move marks Hyperliquid’s entry into the prediction market space. Previously, through upgrades like HIP-3, the platform supported on-chain trading of tokenized stocks, commodities, and other real-world assets, with trading volume and open interest reaching new highs. Now, with outcome trading added, Hyperliquid accelerates its transition toward a multi-product decentralized derivatives ecosystem. If the testnet performs well, this feature could go live on mainnet later in 2026, bringing new competition to decentralized prediction markets.

15. White House Sets February End Deadline! Stablecoin Yield Rules Become the “Life or Death” of U.S. Crypto Legislation

Disagreements over key aspects of U.S. crypto legislation are entering a “countdown” phase. Multiple sources report that the White House has explicitly demanded that banks and crypto firms reach consensus by the end of February on whether “stablecoins can offer yield to users,” or legislative progress will be further delayed.

Sources say that White House officials have recently organized multiple closed-door negotiations, inviting senior executives from traditional banking and digital asset sectors to meet face-to-face, aiming to narrow differences on stablecoin yield mechanisms, compliance boundaries, and risk controls. These meetings have lasted over two hours and will continue in smaller formats, focusing on technical wording adjustments in the legislation.

Bank representatives, including industry associations, have indicated that they need to consult their members before proceeding. Afterward, they publicly stated willingness to develop a “balanced framework that fosters innovation and financial stability,” emphasizing that legislation should not weaken local lending capacity and should continue supporting household and SME financing. Crypto industry representatives hope to retain space for yield offerings under compliant conditions to enhance product competitiveness and user appeal.

However, insiders warn that without substantive progress on these key issues, the legislation cannot advance to the next stage. Current disagreements are among the biggest obstacles to implementing U.S. digital asset policies.

Meanwhile, the government shutdown has entered its fourth day. The House is expected to vote on funding proposals this Tuesday. Trump has called for quick approval to end the shutdown, emphasizing that no further changes should be made to the agreement already reached with the Senate. Yet, Democrats and Republicans still have significant differences over immigration enforcement and other issues.

Analysts believe that if the shutdown continues, it will further delay several financial policies, including stablecoin regulation and crypto legislation. Over the coming weeks, rules on stablecoin yields and the tug-of-war between banks and crypto firms will likely be key indicators of the future U.S. crypto regulatory landscape.