Bitcoin and Ethereum Slide as Fed Caution, Pi Network Surges on Whale Accumulation

I. Crypto Market Overview

Key Takeaways

Macro Environment

US monetary policy remains the dominant driver as the Fed signals caution on rate cuts amid persistent inflation, sustaining volatility in crypto markets. Gold and silver prices dropped sharply, reflecting shifting risk sentiment and potential capital rotation. Regulatory clarity advances in the US and Europe, with new licenses and compliance milestones boosting institutional confidence.

Crypto Market

The crypto market saw broad declines over the past 12 hours, with Bitcoin down 2.48% to $67,169 and Ethereum down 1.18% to $1,977.05, pressured by weak risk sentiment and ETF outflows. Altcoins were mixed; PI Network (PI) surged 7.23% on whale accumulation and listing anticipation, while NEXO dipped 0.29% and MemeCore (M) was flat. Utility-driven and infrastructure narratives drove selective gains.

Today's Outlook

Key events today include the Federal Reserve's FOMC meeting minutes release, which may impact market volatility and rate expectations. Rocket Pool's Saturn One upgrade launches, introducing major protocol changes and an RPL fee switch, likely affecting staking and DeFi sentiment. ETHDenver 2026 kicks off, gathering global Web3 and Ethereum developers for technical collaboration and ecosystem growth.

Fear and Greed Index

38.00% Annual Percentile

13 Fear

Total Crypto Market Cap

$2.32T

1.66%

Total Market Trading Volume

$86.70B

2.53%

Altcoin Season Index

45.45%

Quarterly Percentile

29 / 100

Total Futures Market Open Interest

3.18B

0.80%

Futures

375.41B

1.88%

Perpetuals

II. Industry Updates

Macro-economic Policies

Federal Reserve officials are considering potential rate cuts if inflation nears the 2% target, but persistent service sector inflation remains a challenge. This uncertainty in US monetary policy increases volatility in BTC and DeFi markets.

San Francisco Fed President Daly emphasized that moderate or slightly restrictive policy is still needed to curb inflation, despite AI-driven productivity gains. This stance limits near-term liquidity expansion for crypto assets.

Fed Governor Barr signaled a more hawkish outlook, suggesting a rate cut may not occur soon due to ongoing inflation risks. This supports a stronger USD, which can pressure BTC and altcoin prices.

Gold and silver prices dropped sharply overnight, reflecting shifting risk sentiment and potential capital rotation away from traditional safe havens. This may increase volatility in crypto as investors rebalance portfolios.

No major macroeconomic policy changes were reported from the EU, UK, Japan, or China in the past 24 hours, leaving US monetary policy as the dominant driver for crypto market sentiment.

Cryptocurrency Regulatory Trends

The U.S. Office of the Comptroller of the Currency has conditionally approved Bridge to establish a national trust bank, enabling regulated stablecoin issuance and custody, which may boost institutional confidence in digital assets.

CoinShares reported $7.4 billion in assets under management for 2025 and announced a $21.5 million dividend, reflecting ongoing regulatory compliance and strengthening the legitimacy of crypto asset management in Europe.

TD Cowen notes that political disputes over conflict-of-interest rules are delaying the U.S. Crypto Market Structure Act, with regulatory uncertainty impacting investor sentiment and delaying comprehensive market oversight.

Animoca Brands has received a Virtual Asset Service Provider license from Dubai's VARA, allowing it to offer regulated brokerage and investment services, signaling the Middle East's growing regulatory clarity for institutional crypto operations.

Nexo has re-entered the U.S. market with a suite of regulated crypto services, highlighting the importance of compliance and risk management for digital asset firms seeking to serve institutional and retail clients.

MemeCore (M): MemeCore surged 6.6% in 24h with $11.5M volume, leading gainers as market focus shifts to utility-driven Layer 1s; no major upgrade or listing, but increased trading activity and infrastructure narrative drive momentum.

NEXO (NEXO): NEXO rose 7.1% over 24h with $12.3M volume, outperforming peers as it reportedly re-entered the world's largest crypto market, boosting sentiment and operational outlook despite no new exchange listing.

PI Network (PI): PI Network climbed 7.1% in 24h with $29.7M volume, driven by whale accumulation of 4M PI ahead of its first anniversary and anticipation of a major CEX listing and ongoing protocol upgrades.

Smart Money Movements

Harvard Management reduced its Bitcoin ETF holdings by over 20% to $265.8M and invested $86.8M in iShares Ethereum Trust, marking its first ETH ETF allocation.

Strategy (MSTR) acquired 2,486 BTC for $168.4M last week, bringing total holdings to 717,131 BTC valued at $48.76B, despite an unrealized loss of $5.76B.

Charles Schwab increased its stake in Strategy (MSTR) by 91,859 shares, raising its total holdings to 1.27M shares valued at $168M, signaling continued institutional confidence.

BitMine expanded its Ethereum holdings by 45,759 ETH ($91M), now holding 4,371,497 ETH (3.62% of supply), with 3,040,483 ETH ($6.1B) staked for yield.

DDC Enterprise purchased an additional 80 BTC, increasing its total to 2,068 BTC, with a 74.8% growth in holdings since early 2026 and an average cost of $84,944 per BTC.

Events to Watch

Feb 18 (Wed)

Federal Reserve will release FOMC meeting minutes; Rocket Pool's Saturn One upgrade launches, introducing RPL fee switch and protocol changes.

Feb 18 (Wed)

ETHDenver 2026 kicks off, gathering global Web3 engineers and Ethereum developers for hackathons and workshops.

Feb 19 (Thu)

Philadelphia Fed Manufacturing Survey released, offering insights into U.S. manufacturing sector and potential market impact.

Feb 20 (Fri)

US Q4 GDP advance estimate and December Core PCE Price Index released; LayerZero (ZRO) unlocks 25.71M tokens (~$43M), starting monthly unlocks.

Table of Contents

I. Crypto Market Overview

Key Takeaways

Macro Environment

Crypto Market

Today's Outlook

II. Industry Updates

Macro-economic Policies

Federal Reserve officials are considering potential rate cuts if inflation nears the 2% target, but persistent service sector inflation remains a challenge. This uncertainty in US monetary policy increases volatility in BTC and DeFi markets.

San Francisco Fed President Daly emphasized that moderate or slightly restrictive policy is still needed to curb inflation, despite AI-driven productivity gains. This stance limits near-term liquidity expansion for crypto assets.

Fed Governor Barr signaled a more hawkish outlook, suggesting a rate cut may not occur soon due to ongoing inflation risks. This supports a stronger USD, which can pressure BTC and altcoin prices.

Gold and silver prices dropped sharply overnight, reflecting shifting risk sentiment and potential capital rotation away from traditional safe havens. This may increase volatility in crypto as investors rebalance portfolios.

No major macroeconomic policy changes were reported from the EU, UK, Japan, or China in the past 24 hours, leaving US monetary policy as the dominant driver for crypto market sentiment.

Cryptocurrency Regulatory Trends

The U.S. Office of the Comptroller of the Currency has conditionally approved Bridge to establish a national trust bank, enabling regulated stablecoin issuance and custody, which may boost institutional confidence in digital assets.

CoinShares reported $7.4 billion in assets under management for 2025 and announced a $21.5 million dividend, reflecting ongoing regulatory compliance and strengthening the legitimacy of crypto asset management in Europe.

TD Cowen notes that political disputes over conflict-of-interest rules are delaying the U.S. Crypto Market Structure Act, with regulatory uncertainty impacting investor sentiment and delaying comprehensive market oversight.

Animoca Brands has received a Virtual Asset Service Provider license from Dubai's VARA, allowing it to offer regulated brokerage and investment services, signaling the Middle East's growing regulatory clarity for institutional crypto operations.

Nexo has re-entered the U.S. market with a suite of regulated crypto services, highlighting the importance of compliance and risk management for digital asset firms seeking to serve institutional and retail clients.

Trending Tokens

MemeCore (M): MemeCore surged 6.6% in 24h with $11.5M volume, leading gainers as market focus shifts to utility-driven Layer 1s; no major upgrade or listing, but increased trading activity and infrastructure narrative drive momentum.

NEXO (NEXO): NEXO rose 7.1% over 24h with $12.3M volume, outperforming peers as it reportedly re-entered the world's largest crypto market, boosting sentiment and operational outlook despite no new exchange listing.

PI Network (PI): PI Network climbed 7.1% in 24h with $29.7M volume, driven by whale accumulation of 4M PI ahead of its first anniversary and anticipation of a major CEX listing and ongoing protocol upgrades.

Smart Money Movements

Harvard Management reduced its Bitcoin ETF holdings by over 20% to $265.8M and invested $86.8M in iShares Ethereum Trust, marking its first ETH ETF allocation.

Strategy (MSTR) acquired 2,486 BTC for $168.4M last week, bringing total holdings to 717,131 BTC valued at $48.76B, despite an unrealized loss of $5.76B.

Charles Schwab increased its stake in Strategy (MSTR) by 91,859 shares, raising its total holdings to 1.27M shares valued at $168M, signaling continued institutional confidence.

BitMine expanded its Ethereum holdings by 45,759 ETH ($91M), now holding 4,371,497 ETH (3.62% of supply), with 3,040,483 ETH ($6.1B) staked for yield.

DDC Enterprise purchased an additional 80 BTC, increasing its total to 2,068 BTC, with a 74.8% growth in holdings since early 2026 and an average cost of $84,944 per BTC.

Events to Watch

Feb 18 (Wed)

Feb 18 (Wed)

Feb 19 (Thu)

Feb 20 (Fri)

III. Phemex Market Focus

New Listings

Phemex Promotions