Bitcoin Price Fell Below $70K: Sell-Off Over or Just Starting?

Key Insights:

• Bitcoin price fell under $70K, which is a 22% drop this week. Analysts ask whether the Bitcoin sell-off is over or has just begun.
• ETFs and institutional outflows still keep a drag on the downfall of BTC price.
• Technical indicators indicate that the market may incur more losses and could target $63,800.

Bitcoin price fell further on Thursday, February 5, 2026, and it fell below the important mark of $67,000. At the time of writing, the flagship cryptocurrency was trading at about $66,950, marking a daily loss of more than 9%.

The decline extended a brutal week. The Bitcoin USD price fell by over 22% in seven days. It erased gains stretching back 15 months. Weak macroeconomic signals and sustained selling pressure drove the move.

There were several headwinds for the investors. With the appointment of Kevin Warsh, the Federal Reserve expectations became hawkish. Weak US labor data added recession fears as tech stocks plunged, dragging risk assets lower.

BlackRock Transfers $331M in BTC and ETH to Coinbase

BlackRock moved another large batch of cryptocurrency to Coinbase on February 5. The transfer included 3,900 BTC worth $275 million and 27,197 ETH worth $56.7 million. Total value reached $331 million.

BlackRock Moves $2.2B in Crypto | Source. X

This was the latest in a series. Over the past two weeks, BlackRock sent roughly $2.2 billion in BTC and ETH to Coinbase Prime. On-chain data from Arkham Intelligence and Lookonchain confirmed six separate deposits.

These moves sparked initial panic as many feared the asset manager was exiting crypto. That fear is misplaced. The transfers reflect normal settlement mechanics for cash-redemption ETFs.

BlackRock runs iShares Bitcoin Trust (IBIT) and iShares Ethereum Trust (ETHA). When investors redeem shares, BlackRock sells underlying crypto for dollars. Coinbase Prime handles custody and execution. Large transfers match large redemption days.

Spot Bitcoin ETFs saw massive outflows. The sector lost $2.9 billion over the last 12 sessions. Total redemptions since November neared $6 billion. IBIT alone recorded hundreds of millions in daily exits on peak days.

Why Bitcoin Price Keeps Falling?

Several factors combined to pressure the Bitcoin price lower. The US Dollar Index surged past 97.5. Tighter financial conditions hurt risk assets.

Private payrolls grew by only 22,000 in January. That missed the estimates widely. Investors shifted toward safe havens like Treasuries. Tech stocks suffered sharp declines. AMD plunged 17% after weak guidance. NVIDIA dropped over 3%. Bitcoin increasingly tracks high-growth tech sentiment.

Institutional flows dried up. Spot Bitcoin ETFs flipped to consistent outflows. Stablecoin market cap declined for the first time since 2023. Less fresh capital entered the market. Over $2 billion in crypto positions were liquidated this week. Long positions bore the brunt of that added downward momentum.

Analyst Warnings: More Bitcoin Price Downside Possible

Technical breakdowns deepened bearish sentiment. Bitcoin price lost the 200-week EMA near $68,000. It also broke a long-term macro triangle on monthly charts. Rekt Capital called it “bearish acceleration.” The analyst noted similar EMA crossovers preceded major downside in past cycles.

Bitcoin Price Broke a Long-term Macro Triangle on the Monthly Chart | Source. X

Potential targets sit at $66.9K, $64.8K, and $59K. Peter Brandt pointed to “campaign selling” by large holders. He flagged a bottom zone near $54,600–$55,000. Bitcoin price remains under heavy pressure as sellers control momentum. Bulls require high volume to regain $68, 000 and $70, 000 in the near future.

It is worth noting that Bitcoin failed to make a recovery after falling below the $70K level, and as a result, many traders were forced to dump their long positions. The breakdown of the crypto’s price action is accompanied by lower highs and lower lows, which is a classic indicator of a bearish market structure.

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