Bitcoin’s slide back to the $70,000 support level sparked about $775M in leveraged liquidations and sharply reduced overheated open interest. As capital rotates away from high-beta speculative assets, investors are favoring infrastructure projects such as BMIC, which focuses on post-quantum wallet security and has raised over $432K at a token price of $0.049474. This divergence between Bitcoin’s price action and BMIC’s presale inflows suggests some market participants are hedging volatility through early-stage, utility-driven plays.

On 5 February 2026, investment bank Stifel warned that Bitcoin could retreat toward $38,000 if past market cycles play out under tightening liquidity and restrictive monetary policy. As Bitcoin trades just above $72,000, Michael Burry argues it is behaving like a speculative asset, with further declines potentially triggering forced selling and broader stress across the crypto market.

Heading into the mid‑2025 to 2026 window, analysts map potential paths for Bitcoin toward $180K–$200K if $70k holds and adoption broadens, while risks include a sustained break below $80K or <$85k structures. Meanwhile, Bitcoin Hyper's presale page reports $31.2M raised at $0.0136751 as it pursues SVM-enabled Layer 2 throughput on Bitcoin.

On February 4, 2026, Arkham reported that Bhutan moved $22.4M in Bitcoin from sovereign wallets over the past week, including a transfer five days earlier to QCP Capital-labeled addresses. The country's crypto portfolio has fallen from $1.4B to $412M, and it remains the seventh-largest government BTC holder.

ETF analyst James Seyffart said in an X post on Wednesday that US spot Bitcoin ETF holders are staying the course through a four‑month slide, even as paper losses approach around 42% with Bitcoin below $73,000. Preliminary Farside Investors data indicate net inflows eased from roughly $62.11 billion before the October downturn to about $55 billion.

On 5 February 2026, Treasury Secretary Scott Bessent told U.S. lawmakers that his department cannot and will not use taxpayer funds to buy Bitcoin or provide any kind of federal backstop for the asset. He said existing government-held Bitcoin comes only from law-enforcement seizures, while political figures continue to debate proposals for a formal U.S. Bitcoin reserve and regulators face questions about World Liberty Financial's token structure and foreign-linked investors.

On 5 February 2026, Bitcoin slid to around $70,600, marking its lowest weekly close in roughly 15 months and returning to price levels seen in the first half of 2024. After peaking slightly above $120,000 in mid-2025, the cryptocurrency has fallen about 41%, with elevated trading volume and broader risk-off sentiment across global equities reinforcing the ongoing downside momentum.

Bhutan transferred 184 BTC worth $14 million on Wednesday and another 100.8 BTC worth $8.3 million last Friday, routing the $22.3 million to QCP Capital, according to Arkham. The firm added that the country has mined about $765 million in Bitcoin since 2019, but its holdings have declined from 13,295 BTC in October 2024 to 5,700 BTC as post-2024 halving costs rose.