Bitcoin Descends to 2021 Bull Market Top (~$69K–$70K): Will This Key Support Hold? – BTC TA February 5, 2026

The absolute last ditch defence of the bulls is taking place right now. The Bitcoin price fell to $70,000 earlier on Thursday. With $69,000 marking the top of the 2021 bull market, falling beyond this level could lead to much lower bear market prices. How far can the price drop?

Can $70,000 stop the drop?

Source: TradingView

The 4-hour time frame chart shows the rapidity of the $BTC price descent once it definitively fell out of the bear flag. In the space of about a week the price has fallen 20%, amounting to around an $18,000 loss so far. 

The falling wedge trendlines have been extended out, given that they could have an effect on price. The upper trendline is just below the price currently, and will likely add its weight to the major horizontal support line. That said, with the current downside momentum, can anything stop the price descending now?

Market sentiment almost at rock bottom

Source: Alternative.me

The Fear and Greed Index, which measures market sentiment, is down in the ‘Extreme Fear’ segment with a score of 12. The readings above, taken over the last 3 months, show that a score of 10 is the bottom. This has generally been the case since this Fear and Greed Index was incorporated in 2018, with only a very few lower exceptions.

A bounce a decent probability?

Source: TradingView

The daily chart does reveal a miserable picture, but there may be some kind of respite coming for the bulls. While the downside momentum might just carry on forcing the price lower, the major bull market support line is only just below, and it really should provide a rock-like foundation. 

The falling wedge trendlines do look as though they can also offer support. With the $BTC price in quite an oversold condition, a bounce is quite a decent probability.

That said, taking into account recent price history, will this potential bounce just put in a lower high before the next attempt at $69,000? 

$60,000 or $53,000 potential bounce levels?

Source: TradingView

The weekly time frame gives us an idea of where the $BTC price could go if the adamantine support at $69,000 fails. Firstly, it can be seen that the 200-week SMA is rising and is approaching a level of around $60,000. This would be an ideal area for a bounce. 

Below this is the $53,000 horizontal support level. This corresponds to the bottom of the 8-month bull flag, and interestingly, it just happens to be the full extension of the measured move out of the bear flag. If this level was reached, it would entail a 58% correction from top to bottom. Would this be enough for a bear market?

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.