Bitcoin crashes to $60K, $2.6B liquidated as crypto sentiment hits 3.5-year low | Crypto Briefing Feb 6

Crypto markets experienced their worst day since the FTX collapse as Bitcoin crashed to $60,000 and sentiment plunged to extreme fear levels not seen in over three years.

Top Stories

Bitcoin Crashes to $60K in Historic Selloff

Bitcoin flash crashed to $60,000 as traders refused to catch "falling knives," with analysts citing repeated failures to hold key support levels. The crash triggered over $2.6 billion in liquidations and sent crypto sentiment to a 9 reading - the lowest since FTX's collapse.

NFT Market Cap Returns to Pre-Hype Levels

NFT market cap has slid back to 2021 pre-hype levels near $1.5 billion, despite expanded minting in 2025. The collapse reflects more tokens chasing fewer buyers as sales fell sharply year-over-year.

Ripple Unveils Institutional DeFi Blueprint

XRP takes center stage as Ripple lays out institutional DeFi blueprint for XRPL, with recent mainnet upgrades positioning the XRP Ledger as a hub for regulated, real-world finance applications.

Markets

Bitcoin Treasury Companies Underwater

• Strategy faces $7.5B unrealized loss as Bitcoin sinks near $65K ahead of Q4 earnings
• Tom Lee's BitMine now $8 billion underwater as Ethereum drops below $2,000
• Crypto treasuries fall deeply underwater as major holdings lose billions in value
• BlackRock's Bitcoin ETF hits $10 billion volume record, hinting at peak selling pressure
• Bitcoin volatility fear gauge hits FTX-blowup peak as prices crater

Corporate

Major Portfolio Moves

• MARA Holdings transfers 1,318 Bitcoin worth $87 million to Galaxy Digital, Two Prime, and BitGo
• ARK offloads $17 million of Coinbase, adds $18 million of Bullish amid crypto rout
• Tether invests $150 million in Gold.com to boost tokenized gold distribution
• Gemini exits UK, EU and Australia, reduces staff by 25% to focus on US markets

Technology

Quantum Security Concerns

• Strategy plans Bitcoin security program to address quantum threats as CEO Michael Saylor calls quantum fears "horrible FUD"
• Pump.fun acquires Vyper to expand cross-chain trading terminal capabilities
• Bitwise files S-1 with SEC for Uniswap-focused ETF as first formal move toward UNI token fund

Regulation

Political Developments

• Senator Lummis urges US banks to embrace stablecoins amid crypto bill delays over yield provisions
• Treasury Secretary Bessent calls out crypto "nihilists" resisting market structure bill
• Senator Mark Warner says he's in "crypto hell" as Senate works to revive stalled legislation

Quick Hits

• Polymarket files trademark applications for "POLY" token amid launch plans
• Cardano's Charles Hoskinson lost over $3 billion but declined to cash out
• [Vitalik withdrew 16,384 Ethereum](https://