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Bitcoin Slips Below $90K As Ether Plummets Amid Market Turmoil

Bitcoin and Ether tumbled to multi-month lows on Tuesday amid a broad cross-market sell-off and lingering fallout from last week’s $1.5 billion ether hack at crypto exchange Bybit. The market’s latest downturn highlights the fragility of even the world’s largest digital assets during periods of heightened uncertainty.

Bitcoin’s Price Slide

The flagship cryptocurrency, Bitcoin, dropped as much as 6% to $88,245—its lowest level since November and the first time it has dipped below $90,000 since mid-January. This breach of a key psychological barrier underscores investor apprehension as market volatility intensifies.

Ether’s Sharp Decline

Not far behind, Ether, the second-largest cryptocurrency by market value, shed up to 11% at one point, falling to $2,333. This marks its steepest drop since October, as traders continue to grapple with the aftershocks of the recent security breach.

In a turbulent environment, these movements serve as a stark reminder that even established cryptocurrencies remain vulnerable to external shocks and systemic market pressures. As the sector navigates this challenging phase, market participants are closely watching for signs of stabilization amid ongoing uncertainty.

Central Bank Of Cyprus Balance Sheet Reflects Strong Eurosystem Position

Overview Of Financial Stability

The Central Bank of Cyprus (CBC) has released its latest balance sheet, reaffirming its steadfast role within the Eurosystem. The balance sheet, featuring total assets and liabilities of €29.545 billion, underscores the institution’s stable financial posture at the close of January 2026.

Asset Allocation And Strategic Holdings

Governor Christodoulos Patsalides issued the balance sheet, which details the CBC’s asset composition under the Eurosystem framework. Notably, the bank’s gold and gold receivables amounted to €1.635 billion, providing a significant hedge and stability to its balance sheet. Additional asset categories include claims on non-euro area residents denominated in foreign currency at €1.099 billion, while claims on euro area residents in both foreign and domestic currency add further depth to its portfolio.

The most substantial asset category, intra-Eurosystem claims, reached €19.438 billion, an indication of the CBC’s deep integration with its European counterparts. Furthermore, euro-denominated securities held by euro area residents contributed €6.587 billion. Despite a marked emphasis on these areas, lending to euro area credit institutions in monetary policy operations recorded no activity during the period.

Liability Structure And Monetary Policy Implications

On the liabilities side, banknotes in circulation contributed €3.218 billion. Liabilities to euro area credit institutions associated with monetary policy operations were notably the largest single category, totaling €17.636 billion. Supplementary liabilities included those to other euro area residents, which aggregated to €4.989 billion, with government liabilities playing a predominant role at €4.754 billion.

Other liability items, such as claims related to special drawing rights allocated by the International Monetary Fund at €494.193 million, and provisions of €596.571 million, further articulate the CBC’s exposure. Revaluation accounts stood at €1.643 billion, and overall capital and reserves were confirmed at €333.822 million, completing the picture of a well-capitalized institution.

Conclusive Insights And Strategic Alignment

The detailed breakdown illustrates the CBC’s sizeable intra-Eurosystem exposures, reinforcing its central role within Europe’s monetary landscape. With an asset-liability balance maintained at €29.545 billion, the CBC’s financial position remains robust, indicating a commitment to structural stability and strategic risk management.

This fiscal disclosure not only provides transparency into the CBC’s operations but also serves as a benchmark for comparative analysis among other central banks within the Eurosystem, highlighting the intricate balance between asset liquidity, regulatory oversight, and monetary policy imperatives.

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