Market Overview - The Nifty and Sensex indices opened lower, continuing losses for a second consecutive session, with the BSE Sensex dropping over 200 points below 83,100 and the Nifty 50 declining over 80 points below 25,600 [16] - The Nifty Smallcap 100 index fell by 1%, while the Midcap 100 index decreased by 0.35% [16] Global Market Sentiment - Global markets are experiencing a risk-off sentiment, with Bitcoin falling below $64,000 and silver correcting sharply to around $71 from recent highs of approximately $121 [2][16] - The tech-heavy Nasdaq has declined about 6% from its peak, indicating sustained pressure on technology and AI-related stocks [5][16] - U.S. equities have seen a decline for two consecutive sessions, with the Dow Jones Industrial Average falling 592.58 points (1.20%) to close at 48,908.72, and the S&P 500 dropping 1.23% to 6,798.40 [8][16] Foreign Institutional Investment - Foreign institutional investors (FIIs) turned sellers again, selling Rs 2,150 crore on February 5, while domestic institutional investors (DIIs) bought nearly Rs 1,130 crore [6][7][16] - FIIs had previously staged a strong comeback, being net buyers of Rs 5,236 crore, marking the highest single-day inflow since October 28 [7][16] Domestic Economic Indicators - Expectations for the Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) meeting suggest a status quo on interest rates, with a rate cut seen as unlikely [6][16] - A potentially dovish tone in the policy and an upward revision to FY27 growth projections could improve market sentiment [6][16] Commodity Market - U.S. crude futures extended losses, with Brent crude falling 50 cents (0.74%) to $67.05 per barrel and West Texas Intermediate (WTI) crude declining 52 cents (0.82%) to $62.77 per barrel [10][16] Currency Exchange - The Indian rupee opened stronger at 90.29 against the US dollar, compared to the previous closing level of 90.36 [11][16]

Market Overview - Bitcoin has slipped back below $90,000 due to global market volatility, leading to reduced investor appetite for the cryptocurrency [1][2] - The recent geopolitical tensions, including tariff threats from President Trump, have contributed to a "risk-off" sentiment among investors [2][3] Market Dynamics - The combination of rising Japanese government bond yields and a volatile market environment has negatively impacted bitcoin prices [3][4] - Institutional investors have sold off holdings, resulting in nearly $500 million in outflows from U.S. spot bitcoin exchange-traded funds over two trading days [4][6] Liquidation and Leverage - Bitcoin's decline below $90,000 was exacerbated by over $1 billion in liquidations, primarily driven by a mechanical unwind of leveraged positions [6] - The inability of bitcoin to maintain upward momentum has forced leveraged traders to exit their positions, contributing to the price drop [7] Regulatory Environment - Bitcoin faces regulatory challenges, particularly with the Digital Asset Market Clarity Act stalled in the U.S. Senate, which has dampened institutional interest in increasing crypto holdings [7]

Market Overview - Bitcoin (BTC) experienced a significant sell-off, dropping to approximately $91,530 from a local high of $93,750, following a failed attempt to break above $94,500 [1] - The altcoin market suffered even more, with notable declines in PENGU and XRP, which fell by 6.5% and 3.5% respectively [1] Price Range and Sentiment - Bitcoin is now trading within December's range of $85,000 to $94,500, continuing a decline that began in October [2] - The recent drop in Bitcoin reflects a rise in risk-off sentiment among traders, coinciding with a decline in U.S. equities, particularly the Nasdaq 100 futures, which fell by 0.32% [2] Derivatives Positioning - Over the past 24 hours, exchanges liquidated crypto futures bets worth $465 million, with long positions making up over 50% of the liquidations [5] - Cumulative open interest (OI) in crypto futures remains steady above $143 billion, the highest in nearly two months, with positive funding rates indicating bullish positioning [5] - OI in specific tokens like XRP, DOGE, SUI, and ZEC fell by 5%-6%, likely due to profit-taking after recent price surges [5] Sector Performance - Memecoins and privacy coins were the worst-performing sectors, with Zcash (ZEC) dropping by 4.5% [5] - The CoinDesk Memecoin Index (CDMEME) fell by 1.5%, which is double the decline of the CoinDesk 5 index that tracks BTC, ETH, XRP, SOL, and ADA [5] - Despite the downturn, the decentralized finance (DeFi) sector saw a total value locked (TVL) increase of 0.17% over the past 24 hours, indicating positive inflows [5] - The "altcoin season" indicator from CoinMarketCap is at 25/100, down from last week's high of 27 but significantly above December's low of 14, suggesting some optimism in the altcoin market [5] - Tron (TRX) was an outlier, showing a gain of 1.2% over the past 24 hours [5]

Group 1: Precious Metals Market - Gold and silver prices are rising due to safe-haven demand following the U.S. raid in Venezuela that captured its president, leading traders to consider geopolitical implications in the coming months [1] - Platinum futures reached a record high of $3,563.50 per ounce, while palladium futures hit a three-year high of $1,984.70 per ounce, indicating strong market performance in these metals [5] - The gold and silver markets are experiencing solid rallies driven by strong safe-haven buying, reflecting increased risk-off sentiment among investors [8] Group 2: Copper Market - Copper futures have climbed above $6 per pound, reaching a new record high due to expectations of tightening global supplies this year [2] - Concerns are growing among traders that potential new tariffs on refined metals by the Trump administration could disrupt shipments into the U.S., affecting supply in major trading hubs like London and Shanghai [3] Group 3: Global Stock Markets - Asian stock markets are experiencing their best-ever start to a year, with key indexes reaching record highs and the MSCI Asia Pacific Index up around 4% in the first four trading sessions of 2026 [6] - European stock markets are also performing well, with the STOXX 600 reaching an all-time high and the German DAX and U.K.'s FTSE 100 indices hitting fresh record highs [7]

Core Insights - Bitcoin has experienced significant price weakness due to a combination of factors including risk-off investor sentiment, a hawkish Federal Reserve, stalled regulatory efforts, reduced institutional interest, and profit-taking by long-term holders [1][2][4] Market Performance - Bitcoin's price has dropped from $126,000 to below $82,200 since early October, with a slight rebound to nearly $88,500 recently [2] - The total cryptocurrency market capitalization has decreased by approximately 24%, equating to a loss of $1 trillion since its peak in October [3] Key Factors Influencing Bitcoin's Decline - **Declining Risk Appetite**: Bitcoin's decline mirrors that of tech stocks and other risk assets, influenced by macroeconomic concerns and fears regarding overvalued AI companies [4] - **Federal Reserve's Stance**: The performance of Bitcoin is negatively impacted by the Fed's mixed signals regarding interest rate cuts, as Bitcoin typically thrives in low interest rate environments [4] - **Regulatory Stagnation**: The stalled progress of the CLARITY Act, following the earlier success of the GENIUS Act, may hinder crypto adoption [4] - **Institutional Withdrawal**: Following a record liquidation day, institutional investors have been retreating from the crypto market, leading to decreased liquidity and challenges in price recovery [4] - **Profit-Taking by Holders**: Long-term holders have sold approximately 800,000 BTC in the past month, marking the largest sell-off since January 2024 [4]

Core Insights - Bitcoin (BTC) and the Japanese yen (JPY) are both experiencing significant declines, with the yen down to 157.20 per U.S. dollar, prompting speculation about potential intervention from the Bank of Japan (BOJ) [1] - Historically, a weaker yen is associated with risk-on sentiment, as traders engage in carry trades by borrowing yen at low interest rates and investing in higher-yielding assets, which further pressures the yen [2] - The current low interest rate in Japan (0.5%) compared to the U.S. (4.75%) creates incentives for carry trades, with reports of Japanese investors seeking high-yield currencies like the Turkish lira [4] Economic Context - Japan's fiscal strain is contributing to yen volatility, with a debt-to-GDP ratio around 240%, raising concerns amid inflation and expansionary fiscal policies [6][7] - The Japanese government has approved a $135 billion fiscal stimulus package, indicating a trend towards increased borrowing and higher yields [7] - The 10-year Japanese government bond yield has risen to 1.84%, the highest since 2008, reflecting the impact of fiscal issues and inflation concerns [8]

Core Insights - Bitcoin's bullish outlook is deteriorating as market participants adopt a risk-off stance, with Bitcoin dropping below $99,000 after a nearly 4% decline from its intraday high of $103,690 [1][2] Market Sentiment - The Nasdaq is down around 2%, reflecting a broader risk-off sentiment in traditional markets, as investors react to the U.S. government reopening after its longest shutdown [2] - The funding bill provides only a short-term reprieve, leading investors to focus on the negative impacts already incurred, including weeks of missing economic data and a damaged federal statistical system [2] Bitcoin Supply Dynamics - There is an accelerated distribution from Bitcoin's long-term holders, with a significant increase in selling pressure as these investors sold approximately 815,000 BTC over the past month, the highest level since January 2024 [3][4] - The 30-day change in supply held by long-term holders is sharply declining, indicating a trend of increased selling among these investors [3] Demand Factors - Weakened spot demand is evident due to net spot Bitcoin exchange-traded fund outflows and reduced U.S. buying pressure, as indicated by a negative Coinbase premium [4] - The absence of significant bid support on the buy side is notable, contributing to the steady decline in Bitcoin prices [5] Market Predictions - Users on the prediction market Myriad have reduced the likelihood of Bitcoin reaching $115,000 before hitting $85,000, assigning a 56% chance down from 68% [5]

Market Sentiment - The CNN Money Fear and Greed index increased to 23.6, indicating a shift to the "Extreme Fear" zone from a previous reading of 30.2 [5][6] - U.S. stocks experienced a decline, with the Nasdaq Composite dropping over 400 points, reflecting a risk-off sentiment particularly affecting AI-linked stocks and crypto markets [1] Earnings Reports - Robinhood Markets Inc. (NASDAQ:HOOD) saw a decline of more than 10% despite beating Wall Street expectations, continuing a trend where strong earnings lead to weak stock price reactions for high-flying stocks like Palantir Technologies Inc. (NYSE:PLTR) and Advanced Micro Devices Inc. (NASDAQ:AMD) [2] - Qualcomm Inc. (NASDAQ:QCOM) also exceeded estimates but fell approximately 4% due to management's guidance of slightly weaker licensing revenue [2] Employment Data - U.S.-based employers announced 153,074 job cuts in October, a significant increase from 54,064 in the previous month, indicating potential economic challenges [3] Market Performance - The Dow Jones closed lower by around 399 points at 46,912.30, while the S&P 500 dipped 1.12% to 6,720.32, and the Nasdaq Composite declined 1.90% to 23,053.99 [4] - Most sectors on the S&P 500 ended negatively, with communication services, consumer discretionary, and information technology stocks experiencing the largest losses, while energy and health care stocks performed better [3]

WHY IS CRYPTO DOWN? A DEEPER LOOK AT THE MARKET SELLOFF- On November 5, total market capitalization fell by nearly 3% to $3.69 trillion, marking one of the sharpest single-day declines in months.- Bitcoin, which had been riding high since summer, slipped below $100,000 for the first time since June, dropping 6.4% on Nov. 4 to around $99,705.- Ethereum, Solana, XRP, and other major altcoins followed suit — wiping nearly $880 billion from the market in a month.Let’s unpack what’s really driving this downturn. ...

Market Sentiment - Risk-off sentiment has been pervasive across markets, leading to a stronger USD against most currencies, with the exception of JPY [1][9] - The Australian dollar and New Zealand dollar have been particularly weak, with the latter reaching a nearly seven-month low following a rise in the unemployment rate [9][10] Currency Performance - The U.S. dollar index was steady at 100.18, having reached as high as 100.25 for the first time since August 1 [5][10] - Sterling is near a seven-month low after UK finance minister Rachel Reeves hinted at broad tax rises in her upcoming budget [1][2] - The New Zealand dollar fell to $0.5635 after a 1.2% drop on Tuesday, marking a seven-month low [7][10] Stock Market Trends - Selling pressure dominated Asian stock markets, with Japan's Nikkei dropping 2.4% and South Korea's KOSPI plunging 4.8% [4][9] Economic Indicators - The ongoing government shutdown in the U.S. has halted the flow of macroeconomic data, increasing focus on private ADP payrolls [6][10] - The Reserve Bank of Australia's recent policy statement was not perceived as hawkish, contributing to the weakness of the Australian dollar [8][10] Cryptocurrency Market - Bitcoin experienced a 6.1% decline on Tuesday, reaching its lowest level since June 22, trading around $100,317 [8][10]