Yeliz Akmaca 
As of February 6, Bitcoin fell to $60,000, and total crypto market capitalization dropped to $2.23 trillion. According to Bitwise CIO Matt Hougan, this crypto winter is much healthier than those in 2018 and 2022. While many investors are concerned, Hougan notes that the current bear market shows stronger fundamentals and investor optimism persists.
Stablecoins Reach $3 Trillion, Tokenization Nears $200 Trillion
Stablecoins are approaching $3 trillion, tokenization is near $200 trillion, and DeFi infrastructure is expanding rapidly. These dynamics keep investors engaged despite the depth of the bear market and short-term declines.
Previous Bear Markets Were Devastating
Hougan says, “Those claiming this crypto winter is worse than 2018 or 2022 simply don’t remember those years.” In 2018, Bitcoin was only $3,000 and Ethereum was a ‘global computer’ with limited throughput and few applications. In 2022, markets collapsed, and regulators threatened the sector.
“Today is different. Stablecoins are at $3 trillion, tokenization at $200 trillion. Regulatory climate is positive, tokenomics are stronger,” Hougan added. He also highlighted that BlackRock and Apollo are building on DeFi infrastructure, ETFs are expanding, and concerns about fiat currencies are rising.
“Yes, I’m optimistic. It doesn’t mean smooth sailing, but the ride is exciting,” he said.
Current Bear Market Shallower than Previous Ones
Total market capitalization, which neared $4.4 trillion in November 2025, dropped to $2.23 trillion by February 6. This is far shallower than previous bear markets: an 88% drop in 2018 and a 73% collapse in 2022. The March 2020 Covid crash also caused a 56% drop in a short time.
The difference, according to Hougan, is stronger crypto fundamentals. Analysts note the current slump is driven not by crypto-native factors but by broader macroeconomic and geopolitical concerns. Glassnode reported Bitcoin’s drop to $60,000 on February 6 created psychological pressure on “diamond hands” similar to the May 2022 Luna crash.
“Long-term holders experienced significant losses, a rare shift typically seen in deeper bear market stages,” analysts added.
The recent drop to $60k imposed drastic psychological pressure on “diamond hands,” comparable to the May 2022 LUNA crash.
In both cases, the 7D EMA of Long-Term Holder SOPR fell below 1 after trading for 1-2 years above it.
Simply put, long-term holders realized significant… pic.twitter.com/xc6bXzwPYx— glassnode (@glassnode) February 16, 2026
Long-Term Holders Still in Profit
Joao Wedson, founder of Alphractal, said long-term holders’ Net Unrealized Profit/Loss (NUPL) stands at 0.36, meaning they are still, on average, in profit. Wedson notes that when NUPL enters negative territory, even the most committed holders face losses, marking the lowest phase of market depression historically.
In previous cycles, this phase appeared just before the next bull market. Wedson emphasizes that the market has not yet reached this stage.
Bitcoin was trading around $68,350 at the time of writing, having again failed to surpass $70,000 on Monday.
You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don’t forget to follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.