Report: Market-wide plunge is a liquidity issue, not a crypto problem
February 05, 2026, 8:39 PM
The widespread downturn across crypto, gold, and stock markets has triggered forced deleveraging, but this stems from a general liquidity problem rather than issues inherent to any specific asset, BeInCrypto reported. The report highlighted that Bitcoin, gold, and silver have all posted their largest weekly declines in months. This unusual correlation is not a shift in investor preference but a reflection of broad, portfolio-wide risk aversion, which the outlet described as a mechanical response to liquidity pressures. At the heart of the turmoil is U.S. monetary policy, with the analysis noting that the Federal Reserve's actions have failed to reassure the market.
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