Bitcoin stabilized around $76,000–$76,800 on February 4, 2026, following a volatile session that saw it briefly plunge to lows near $72,884–$74,000—its weakest level since late 2024. The drop extended a broader correction, with BTC down roughly 40% from its 2025 all-time high near $126,000, amid persistent risk-off pressure.
The selloff intensified due to thin liquidity, heavy liquidations (over $700M in some reports), profit-taking, and spillovers from weak U.S. equities/tech stocks. Geopolitical/economic uncertainties and prior ETF outflow streaks (e.g., $818M single-day in late January) fueled the downside, pushing prices below key supports and triggering cascading sales.
Buyers stepped in aggressively near the $74K–$75K demand zone, sparking short-term V-shaped recoveries (e.g., brief climbs toward $78K earlier in the week). This defense—potentially from dip accumulators and reduced leverage—prevented deeper breakdowns, with technicals showing oversold conditions (e.g., deeply negative RSI). However, resistance near $80K caps upside, and failure to reclaim higher levels risks further consolidation or tests of lower supports.
Spot Bitcoin ETFs provided mixed signals: Recent sessions flipped to inflows (e.g., ~$562M net on one day, led by BlackRock/Fidelity), snapping prior outflows, but daily figures remain volatile (e.g., -$272M–$719M in spots). Institutional demand persists as a longer-term tailwind, though macro factors like interest rates and global sentiment weigh heavily.
Analysts are divided: Some view the $74K test as flushing excess leverage for healthier conditions, potentially setting up stabilization. Others warn fragile risk appetite could prolong weakness. The $100K milestone appears distant amid current dynamics, hinging on renewed ETF momentum, macro stability, and bulls defending supports. Markets watch upcoming data for direction, with volatility likely to persist.
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