Bitcoin’s (BTC) price has recovered to $78,000 after the recent cryptocurrency crash. Yesterday, February 2, 2026, the original cryptocurrency fell below $74,000. BTC’s price has rallied 3.7% in the last 24 hours, and other assets seem to be following its trajectory, according to CoinGecko data. Bitcoin’s most recent rally is attributed to President Trump making some crypto-friendly statements. This may have led a surge in investor confidence. Trump stated that “I’m a big crypto person. I helped crypto more than anybody else because I believe in it.“
Kevin Warsh was appointed by President Trump as the next Federal Reserve Chair on February 3, 2026. This led to a huge correction of the Bitcoin market and BTC. Warsh is pro-crypto at the moment, but his criticisms in the past may have scared investors. Trump’s most recent remarks may have provided some comfort for market participants.
Bitcoin’s (BTC) rally could continue, especially since Trump is likely to push for more interest rate reductions. Trump was very vocal in his criticism of Jerome Powell’s refusal to reduce rates any further. Warsh might cut the rates more as soon as his office is established.
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Crypto market remains fragile. Since October last year, the market has taken a downward trajectory. Microstrategy has entered the loss zone after Bitcoin (BTC)’s recent crash. BlackRock Bitcoin ETF investors (IBIT), too, suffered after the correction. Investors may be deterred from the crypto market by macroeconomic concerns. Conditions don’t appear to be ripe for an all-out market rally. The dip in the gold and silver price could lead investors to park their money in more risky investments. We’ll have to wait and see how the situation unfolds. It’s possible that we are entering another crypto-winter or will see the market turn around very soon.
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Source: watcher.guru

