Gate Research: Crypto Market Cap Continues to Decline | Ethereum Staking Ratio Hits a New All-Time High

Summary

• Following a sharp market sell-off, prices have entered a consolidation and recovery phase. BTC and ETH remain capped by key moving averages, while capital has selectively rotated into high-beta sectors such as AI, signaling a modest recovery in risk appetite.
• Ethereum’s staking ratio has surpassed 30%, reaching a new all-time high, reinforcing supply contraction dynamics and reshaping on-chain liquidity structure.
• Zerohash has integrated Monad and USDC, accelerating the deployment of Layer 1 stablecoin payment infrastructure.
• Tether continues to expand its Treasury bill holdings, further embedding stablecoins into the short-term rate ecosystem.
• Total crypto market capitalization has declined for consecutive sessions, indicating the market remains in a near-term de-risking phase.
• Anchorage completed approximately USD 100 million in strategic financing, with Tether participating in the round.

Market Overview

Market Commentary

• BTC Market Update — Over the past week, BTC declined from highs near USD 79,000, briefly accelerated to a local low around USD 59,980, and then rebounded sharply before entering range-bound consolidation. Price is currently around USD 67,914, forming a classic “sharp sell-off → technical repair → sideways consolidation” structure. The MA5 and MA10 remain tightly intertwined, while price continues to face repeated resistance below the MA30, indicating that the moving average structure remains bearish and the medium-term trend has yet to reverse. MACD rebounded from below the zero line but has since flattened, with shrinking histogram bars suggesting momentum repair without trend expansion. In the short term, USD 66,000 remains key support, while resistance is concentrated in the USD 69,500–70,000 zone. A decisive breakout above MA30 and sustained acceptance above USD 70,000 would be required to open a path toward USD 72,000; otherwise, BTC is likely to remain in weak-range consolidation.
• ETH Market Update — ETH followed a similar pattern, falling from around USD 2,400 to a local low near USD 1,744 before rebounding to approximately USD 1,973. The current move remains best characterized as a technical recovery following a sharp decline. While MA5 has crossed above MA10, price continues to trade below MA30. The previously expanding bearish moving average structure has begun to converge, signaling a slowdown in downside momentum rather than a confirmed trend reversal. MACD turned positive from deeply oversold levels but momentum has weakened, with narrowing histogram bars. Short-term support lies near USD 1,950, while resistance is concentrated between USD 2,000 and USD 2,030. Without a meaningful volume expansion, upside moves are more likely to manifest as range consolidation rather than a unidirectional rally.
• Altcoins — Over the past week, the top-performing sectors were AI Meme (+22.4%), AI Framework (+20.5%), and the Pump.fun ecosystem (+11.8%), highlighting a clear rotation of capital toward high-beta, sentiment-driven themes. The AI narrative has once again emerged as the primary capital focus, expanding from meme-driven speculation into infrastructure and tooling layers, forming a top-down diffusion from narrative to base-layer applications.
• Stablecoins — Total stablecoin market capitalization currently stands at USD 307.4 billion, up USD 5.7 billion over the past week, representing an increase of approximately 1.89%.
• Gas Fees — Ethereum gas fees remained largely below 1 Gwei over the past week. The highest single-hour spike reached 24.2 Gwei. As of February 12, the daily average gas fee stood at 0.032 Gwei.

Trending Tokens

Over the past 24 hours, the broader crypto market remained under pressure, with most major assets weakening. BTC declined approximately 1.83%, acting as the primary drag on market performance, while ETH fell around 2.72%, widening its relative underperformance. XRP declined roughly 2.00%, and SOL saw a deeper pullback of approximately 3.66%, reflecting synchronized sector-wide adjustment. Capital remains biased toward caution and observation, with no clear signs of a sustained recovery in risk appetite.

BERA Berachain (+82.68%, Market Cap: $96.03M)

According to Gate market data, BERA is currently trading at USD 0.9151, up over 82.68% in the past 24 hours. Berachain is a Layer 1 blockchain built around its proprietary Proof of Liquidity (PoL) mechanism, which tightly couples staking, liquidity provision, and governance incentives under a “liquidity-as-security” framework, creating a positive feedback loop between network security and capital efficiency.

The recent rally reflects a dual catalyst of mechanism optimization and ecosystem expansion. On the supply side, reduced inflation and a more disciplined reward structure have improved medium-term supply expectations. On the ecosystem front, Berachain is accelerating integrations with DeFi infrastructure such as Tristero, expanding bridging, swap functionality, and zero-MEV trading use cases, strengthening on-chain liquidity loops. As staking infrastructure and DeFi primitives take shape, the market has interpreted these developments as signals of improving mainnet security and capital efficiency, amplifying short-term price elasticity.

LINEA Linea (+29.94%, Market Cap: $64.12M)

According to Gate data, LINEA is currently priced at USD 0.004088, up 29.94% over the past 24 hours. Linea is a high-performance Layer 2 network built on Ethereum’s ZK Rollup architecture, emphasizing verifiable computation and scalable execution. It combines a proprietary zk technology stack with hardware acceleration to improve proof generation efficiency, while pushing AI agents, identity, and liquidity mechanisms on-chain at the application layer.

Recent developments include the launch of the ERC-8004 standard, enabling verifiable identity and portable reputation for AI agents, as well as the release of Vortex polynomial commitment benchmarks that demonstrate significant performance gains under GPU acceleration. These advancements reinforce Linea’s positioning as a high-performance ZK execution environment. The recent price move appears primarily driven by technical breakthroughs and narrative upgrades.

PIPPIN Pippin (+32.52%, Market Cap: $520M)

According to Gate data, PIPPIN is currently trading at USD 0.51993, up 32.52% in the past 24 hours. Pippin originated from an SVG unicorn image generated using ChatGPT-4o’s latest LLM capabilities. Rather than a functional protocol, it represents a sentiment-driven asset built around AI progress, creator identity, and community narrative. The project was created by Yohei Nakajima, a prominent innovator and thought leader in the AI × VC space, known for advancing the “AI for VC” thesis through open development and continuous content output.

PIPPIN’s recent surge has been driven more by capital flows and structural trading dynamics than by concrete fundamentals or product milestones. Technically, price has completed consolidation after pulling back from prior highs, reclaimed key moving averages, and turned MACD positive, signaling strengthening short-term momentum. With a circulating market cap of approximately USD 520 million and prior distribution having absorbed some supply over the drawdown, PIPPIN remains prone to sharp acceleration during sentiment rebounds. However, it remains a high-volatility, high-sentiment asset, with sustainability highly dependent on trading intensity and broader risk appetite.

Key Market Data Highlights

Bitcoin New Investor Capital Turns Negative, Early Bear Market Signal Emerges

According to CryptoQuant data, capital inflows from new Bitcoin investors have turned negative, indicating that recent selling pressure is no longer being absorbed by fresh capital. Historically, declining new inflows often coincide with deteriorating risk appetite and cooling market sentiment, leaving price more vulnerable to downside shocks. Across past cycles, weakening new capital inflows have frequently appeared after local tops or at late-stage uptrends, serving as an early signal of structural weakening.

When selling pressure is no longer matched by new demand, market dynamics increasingly rely on redistribution among existing holders, often leading to higher volatility and weaker rebound sustainability. If stable new inflows do not materialize, price action may transition into prolonged consolidation or gradual downtrends. That said, this indicator primarily reflects capital structure changes and should be evaluated alongside exchange net flows, long-term holder behavior, and macro liquidity conditions to assess whether a full bear phase is unfolding.

Ethereum Staking Ratio Surpasses 30%, Reshaping Supply and Liquidity Dynamics

According to Token Terminal data, Ethereum’s staking ratio has exceeded 30%, marking a new all-time high. This implies that over 30% of ETH supply is now locked within the validator set, materially enhancing the network’s economic security. Structurally, rising staking participation reflects a shift toward yield-oriented holding behavior, reducing liquid supply while simultaneously increasing sensitivity to marginal liquidity changes.

However, a higher staking ratio does not mechanically imply higher prices. The key variables are the source of staking inflows and exit frictions. If new staking primarily comes from long-term holders seeking yield, spot selling pressure may ease. If driven by leveraged strategies or liquid staking derivatives (LST) rehypothecation, apparent supply lock-up may mask latent risk that can unwind through liquidations and discount propagation during stress events. The 30% threshold thus represents a meaningful structural inflection point, strengthening ETH’s yield-asset narrative while signaling tighter trading liquidity. Ongoing monitoring of validator queues, exchange flows, LST discounts, and DeFi leverage will be critical in assessing downstream price and volatility implications.

Zerohash Integrates Monad and USDC, Accelerating Layer 1 Stablecoin Payment Adoption

Blockchain infrastructure provider Zerohash has added support for the Monad network and USDC, effectively expanding Layer 1 stablecoin settlement capabilities at the clearing layer. For clients such as prediction market platform Kalshi, HR software provider Gusto, and trading platform Public, this enables rapid access to stablecoin payment rails without deploying nodes, managing on-chain infrastructure, or independently securing crypto licenses.

At an industry level, this integration reinforces the trend of stablecoins evolving into core payment rails. By enabling real-time funding, cross-border payments, B2B settlement, and on-chain commerce, stablecoins are transitioning from trading instruments into enterprise-grade settlement tools. High-performance, low-latency payment execution at the L1 level may significantly improve capital efficiency and reduce cross-border friction. Over the long term, such infrastructure integrations could accelerate stablecoin adoption across Web2 enterprises without requiring fundamental changes to existing business workflows.

Focus of the Week

ETF Flow Volatility Intensifies: Short-Term Crypto Pricing Remains Institution-Driven

ETF flow data shows that Bitcoin and Ethereum ETFs remained net outflows over the past week, indicating that institutional risk appetite has yet to recover meaningfully. While Bitcoin ETFs briefly saw modest inflows mid-week, flows quickly reverted to outflows, with single-day withdrawals still measured in the hundreds of millions, underscoring continued institutional caution at elevated price levels. Ethereum ETF flows were comparatively milder but similarly lacked sustained inflow momentum.

Notably, Solana ETF flows remained relatively small, characterized by low-level oscillation and tentative positioning, suggesting selective interest in high-beta opportunities. Overall, ETF flows have yet to signal a clear directional shift. Near-term market sentiment remains defensive, with capital preferring to wait for clearer macro signals or internal crypto catalysts before re-engaging.

Tether’s Treasury Bill Holdings Continue to Expand, Stablecoins Deepen Integration with Short-Term Rate Markets

Public disclosures indicate that Tether’s Treasury bill holdings have surpassed those of Germany, placing it among the largest holders globally. According to Tether executive Bo Hines, current growth trajectories suggest Tether could become a top-ten Treasury bill buyer this year. This trend highlights how stablecoin issuers are increasingly anchoring their balance sheets to high-liquidity, short-duration assets, tightly linking stablecoin issuance to short-term rate environments.

At the product level, USDT user growth remains strong, while the GENIUS-compliant sister token USAT is being rolled out, expanding ecosystem reach. For crypto markets, rising Treasury allocation underscores the evolution of stablecoins from pure settlement instruments into critical transmission nodes between on-chain liquidity and traditional rate markets, increasing their systemic relevance within global liquidity structures.

Crypto Market Cap Continues to Decline: De-Risking Phase Persists

Over the past seven days, total crypto market capitalization has remained in a downward trajectory. After accelerating lower mid-week, price action saw only a limited technical rebound, failing to reclaim key prior ranges. Total market cap has now fallen to approximately USD 2.3 trillion, indicating that selling pressure remains dominant and appetite for risk assets remains subdued.

Trading volumes have not expanded meaningfully, suggesting that the decline is driven more by marginal capital withdrawal and contracting risk appetite rather than panic liquidation. Structurally, the absence of clear trend-level capital re-entry has constrained recovery attempts. Until liquidity expectations improve or internal stabilization signals emerge, the market is likely to remain in a weak consolidation regime.

Funding Weekly Recap

According to RootData, between February 5 and February 12, 2026, multiple crypto and crypto-related projects announced funding rounds across digital asset custody, compliant securities, and payment infrastructure. The largest rounds are summarized below:

Anchorage

Announced approximately USD 100 million in strategic financing on February 5, with participation from Tether. Anchorage is a digital asset custody and financial infrastructure company serving institutional clients, providing compliant custody, staking, trading, and risk management services, and positioning itself as a core institutional crypto security provider.

Penguin Securities

Announced a JPY 2.8 billion Pre-A round on February 5, with participation from Mint and Tokyo University of Science Investment Management. Penguin Securities is a Japan-based fintech company focused on compliant security token offerings (STO), leveraging blockchain technology to digitize issuance, clearing, and asset management processes for institutional markets.

Relay

Announced a USD 17 million Series B round on February 5, led by Archetype with participation from USV. Relay is a crypto payment and settlement infrastructure project focused on simplifying on-chain payment experiences for wallets, applications, and financial service providers, aiming to lower adoption barriers and scale crypto payments.

Next Week to Watch

Token Unlocks

According to Tokenomist, several major token unlocks are scheduled over the next 7 days (February 12, 2026 – February 19, 2026). The top three are as follows:

• YZY will unlock approximately USD 20.82 million worth of tokens, representing 48.1% of its circulating supply.
• CONX will unlock approximately USD 15.92 million worth of tokens, representing 52.0% of its circulating supply.
• ARB will unlock approximately USD 10.07 million worth of tokens, representing 1.6% of its circulating supply.

References:

• Gate, https://www.gate.com/trade/BTC_USDT
• Farside Investors, https://farside.co.uk/btc/
• Gate, https://www.gate.com/trade/ETH_USDT
• Gate, https://www.gate.com/crypto-market-data
• CoinGecko, https://www.coingecko.com/en/cryptocurrency-heatmap
• CoinGecko, https://www.coingecko.com/en/categories
• DefiLlama, https://defillama.com/stablecoins
• Etherscan, https://etherscan.io/gastracker
• Rootdata, https://www.rootdata.com/Fundraising
• Tokenomist, https://tokenomist.ai/
• Defillama, https://defillama.com/etfs
• The Block, https://www.theblock.co/post/389501/tether-purchaser-t-bills-usat-ceo-bo-hines
• Coinmarketcap, https://coinmarketcap.com/charts/
• X, https://x.com/Cointelegraph/status/2021305826967781391
• X, https://x.com/Cointelegraph/status/2021524725097279815?s=20
• The Block, https://www.theblock.co/post/389531/zerohash-monad-usdc-stablecoin-payments

Gate Research is a comprehensive blockchain and cryptocurrency research platform that provides deep content for readers, including technical analysis, market insights, industry research, trend forecasting, and macroeconomic policy analysis.

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