On 5 February, Bitcoin extended its decline below $70,000, returning to price levels last seen in late 2021 as spot and derivatives markets came under intense selling pressure. BTC traded near $67,400, more than 7.5% lower on the day, while on-chain and volume data signaled forced liquidations, reduced exposure by large holders, and a fragile technical structure around the $70,000–$72,000 region.

On February 5, Bitcoin's derivatives market saw a stark liquidation skew, with $118.63 million in long positions cleared against $4.53 million in shorts over a four-hour span. This 2,618% imbalance emerged as BTC tested the $69,000–$70,000 zone, highlighting a leverage-heavy market under stress and raising the risk of a deeper de-risking move toward lower price ranges.

Bitcoin slid beneath key supports, with the $74K yearly low and the $70K psychological band now in focus as sellers press their advantage. The analysis outlines a potential $70K–$80K consolidation if demand absorbs supply, but a breakdown of $70K could open room toward $63K, while any relief bounce may target $75K and $80K.

Late on February 4, 2026, Michael Burry posted $BTC Patterns on X, sharing a multi‑year chart with two red‑arrow markers. By the morning of February 5, Bitcoin briefly fell toward $69,000. The arrows referenced the decline from April 2, 2022 into mid‑May and early June, and the current downswing in early February 2026.

On February 5, 2026, Glassnode reported a renewed spike in Bitcoin’s forced-selling metric last seen on October 10, 2025. BTC briefly dropped below $70,000 and then recovered to $70,171.86, as whales sold 14,095 BTC and over 30,000 small retail wallets capitulated. Some analysts expect further liquidations, with a potential local bottom near $50,000.

On Feb. 4, PlanB outlined four potential Bitcoin bear-market paths in an X post and video, ranging from a classic -80% drawdown to $25,000 to a base near the $50,000–$60,000 band. He said January closed at $78,000 versus a $126,000 ATH, with the 200-week MA at $58,000, realized price at $55,000, and RSI at 49.

Bitcoin extended its decline on Wednesday, sliding toward $69,000 after losing the $74,000 level and registering a daily loss of about 4%. More than $951 million in crypto positions were liquidated over the past 24 hours, with roughly $790 million in longs wiped out and Bitcoin and Ethereum accounting for the bulk of the damage.

On February 5, Bitcoin's price slipped to around $70,000, roughly 20% below an estimated $87,000 all-in production cost per coin, while network hashrate fell 12% from its October peak and miner profitability hit a 14‑month low. Daily mining revenue dropped to $28 million, the Miner Profit and Loss Sustainability Index slid to 21, and a roughly 14% downward difficulty adjustment is projected for February 8 as some operators redirect capacity to AI and spot ETF flows turn net negative in early 2026.