In a significant market development, asset management giant BlackRock has executed substantial transfers of Bitcoin and Ethereum to Coinbase Prime, according to blockchain analytics firm Lookonchain. The firm deposited 3,900 BTC worth $275 million and 27,197 ETH worth $56.68 million on February 5, 2026. This follows a similar pattern from just days prior, when on February 3, BlackRock moved 1,134 BTC ($88.68 million) and 35,358 ETH ($80.65 million) to the same exchange platform.
This activity coincides with a severe and prolonged downturn across the cryptocurrency market. Bitcoin has fallen below the $70,000 mark, trading at $69,854 at the time of reporting, representing an 8.81% drop in 24 hours and a roughly 21% weekly decline. This puts Bitcoin on track for its worst weekly performance since November 2022. The leading cryptocurrency is now down nearly 40% from its all-time high above $126,000 recorded in October 2025.
Market analytics firm Glassnode highlights the intensity of the sell-off, noting that Bitcoin's Entity-Adjusted Realized Loss for the seven-day SMA reached $889 million per day on February 4, marking the highest daily loss realization since November 2022. The BTC capitulation metric has also seen its second-largest spike in two years, indicating a surge in forced selling.
The sell-off is not isolated to Bitcoin. The altcoin market, including Ethereum, has been hit even harder. Ethereum was trading at $2,061, down 5.91% in 24 hours and 23% on a weekly basis. The broader market decline follows a sell-off in tech stocks and volatile precious metals, suggesting a wider risk-off sentiment.
In a related development, BlackRock's iShares Bitcoin Trust ETF (IBIT) experienced extreme volatility. On February 5, IBIT "crushed its daily volume record" with $10 billion worth of shares trading hands, according to Bloomberg ETF analyst Eric Balchunas. However, the ETF's price dropped 13% on the day, its second-worst daily decline since launch. The fund has posted net outflows, with $373.4 million leaving on February 4, and has struggled to maintain consistent inflows since the market downturn began in early October 2025.
Analysts point to weak U.S. job market data and concerns over capital concentration in the artificial intelligence sector as potential macroeconomic catalysts for the crash. Veteran trader Peter Brandt has noted that Bitcoin is showing "fingerprints of campaign selling" with few buyers stepping in to provide support.
