Ether sees longest monthly losing streak in crypto rout

Ether, the second-largest digital token, slid as much as 28% for February on Friday to $1 746, hitting its lowest intraday price since last April as a months-long rout in cryptocurrency prices deepens.

Ether has posted negative monthly returns since September, and is headed for six consecutive months of losses. January marked its longest such streak since Bloomberg began tracking the token in 2018.

The token is down roughly 60% from last year’s peak, having erased around $345 billion in market value. It rebounded slightly during Asia trading on Friday, rising with Bitcoin and other cryptocurrencies and offering a reprieve for digital asset traders. It remains down around 20% for the month so far.

Ether’s decline reflects a broader repricing of risk rather than any single crypto-specific catalyst, said James Harris, chief executive officer of digital asset manager Tesseract. “This has been building for several weeks,” he said, pointing to a sharp tightening in risk appetite across asset classes, including “disorderly” moves in precious metals.

Ether’s slump is part of a broader collapse across cryptocurrency markets, with Bitcoin leading the selloff. The largest digital token has slid sharply this month, dragging down smaller peers as risk appetite fades, liquidity tightens and investors pull back from speculative assets.

Bitcoin fell as much as 14% Thursday to $62 267, the lowest since October 2024. It fell further to nearly $60 000 before paring losses, trading above $64,000 for much of Friday during Asia trading.

The rout has wiped out nearly half of Bitcoin’s value since it reached a record four months ago and has spread to other tokens, related ETFs and companies like Strategy Inc. that hold vast sums of coins.

“The entire cryptocurrency market is evolving in a climate of generalized decline, characterized by a decrease in total market capitalization, increased volatility, and a weakening appetite for risk,” digital asset data firm Kaiko said in a research note. “This dynamic is all the more concerning as it is accompanied by a contraction in liquidity.”

Markets reacted swiftly to the nomination of Kevin Warsh to lead the Federal Reserve, a development investors interpreted as signaling a less supportive liquidity backdrop. In that environment, Harris said, high-beta assets are often used as a source of liquidity, with crypto trading more as an extension of broader risk sentiment than as a standalone story.

Ethereum underpins much of the crypto ecosystem, serving as the primary blockchain for stablecoins, decentralized finance and real-world asset tokenisation. Because Ether is widely used as collateral across DeFi protocols, a sustained price decline risks triggering spillover effects through forced liquidations and tightening liquidity across interconnected platforms.

Adding to the pressure, January marked the third consecutive month of net outflows from spot Ether exchange-traded funds.

© 2026 Bloomberg

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