Jan 26 – Feb 2, 2026 On-Chain Resilience Amid Market Plunge
Market Overview
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Global Market Cap: $2.70 Trillion (down 11.5% WoW).
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BTC Dominance: 57.76% (Market Cap: $1.56 Trillion).
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Fear & Greed Index: 13 (Extreme Fear), reflecting a sharp market correction and pessimistic sentiment.
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ETF Capital Flows:
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BTC ETFs: Weekly net outflow of $1.49 Billion (Cumulative inflow: $55.01 Billion).
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ETH ETFs: Weekly net outflow of $327 Million (Cumulative inflow: $11.97 Billion).
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Capital Flows & Stablecoins
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Total Market Cap: $310 Billion (slight decrease of 0.26%).
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Competitive Landscape: USDT (59.7%) leads, followed by USDC (22.6%).
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New Supply: 1.688 Billion newly issued this week (100% USDC), signaling continued institutional or compliant capital entry despite secondary market weakness.
On-Chain Ecosystem Performance
DeFi Overview
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Total TVL: $105.9 Billion (down 9.6%).
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Distribution by Chain: Ethereum (56.45%), Solana (7.95%), BNB Chain (5.7%).
Layer 1 Activity
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Solana: Strongest resilience; DEX volume rose 49.4% ($4.71B), and TVL increased by 6.9% against the market trend.
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Ethereum: Surge in activity; DEX volume jumped 192.7%, and daily active addresses grew by 78%.
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Aptos: Explosive growth in daily active addresses, up 63.3% (reaching 1.56M), though TVL dropped 14.3%.
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Sui/TON: Experienced significant pullbacks in both TVL and user activity.
Layer 2 Dynamics
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Total TVL: $33.68 Billion (down 8.1%).
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The Top Two: Base (36.26%) remains at the top spot, maintaining its lead over Arbitrum (34.81%).
Key Projects & Industry Updates
New Projects to Watch
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Polaris: A self-scaling stablecoin OS for DeFi, focusing on sustainable yield generation.
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Probable: A native prediction market protocol on BNB Chain (backed by YZi Labs).
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SectorOne: A native high-performance DEX within the MegaETH ecosystem, specializing in dynamic liquidity.
Key Event Reminders
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Feb 2: ZAMA Pre-TGE subscription begins; Rainbow Wallet launches CCA auction on Uniswap.
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Feb 3 - Feb 7: Flying Tulip (founded by Andre Cronje) starts a $200M public sale on CoinList.
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Feb 3: Usual Protocol’s USUALx unstaking window closes and processes requests.
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Feb 9: MegaETH Public Mainnet Launch, introducing a KPI-linked token release mechanism.
References
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Market sentiment deteriorated further into "Extreme Fear" this week (index 9), with global market cap falling below $2.3 trillion. However, capital flows and on-chain activity reveal clear structural divergence: all new stablecoin issuance came from USDC ($2.088B), indicating compliant capital is still cautiously positioning amid risk-off sentiment. Solana's daily active addresses grew against the trend, with DEX volume remaining the highest, while Aptos also showed strong user activity. Despite broader market pressure, the resilience within specific ecosystems is accumulating strength for the next market phase.