Bitcoin Slides Below $73,000, Setting 2026 Low – Analyst Says the Move Is Within Historical Bounds
February 4 2026
Bitcoin (BTC) fell to $72,945 on Tuesday, breaking the $73k threshold for the first time this year. The dip came as futures‑market liquidations surged and growing nervousness over this week’s wave of U.S. corporate earnings weighed on equities and, by extension, the broader crypto market.
Market backdrop
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Equity pressure: The S&P 500, Dow Jones and Nasdaq all traded lower, with declines ranging from 0.7 % to 1.8 %. Heavy‑weight AI‑related stocks such as NVIDIA (‑3.4 %), Microsoft (‑2.7 %) and Amazon (‑2.7 %) were among the biggest losers. More than 100 S&P 500 companies are slated to release earnings this week, heightening volatility across risk‑on assets.
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Crypto‑specific stress: Leveraged positions took a hit. According to data from CoinGlass, $127.25 million of BTC long contracts and $159.1 million of ETH long contracts were forced into liquidation during the session.
- Price performance: Year‑to‑date Bitcoin is down about 15 %, and it remains roughly 45 % beneath its all‑time high of $126,267 set in 2025. The new low has revived questions about whether the current bull phase is losing steam.
Analyst perspective
Joe Burnett, Vice‑President of Bitcoin Strategy at Strive, cautioned against reading the slide as a sign of structural weakness. In a recent X post he noted:
- The $45 % drawdown aligns with Bitcoin’s historical volatility profile.
- At around $74,000, the price sits within the range that past cycles have considered “normal” for a correction of this magnitude.
- “Volatility of this scale is a symptom of a rapidly monetizing asset,” Burnett added, suggesting that sharp swings are an expected feature of Bitcoin’s maturation.
Order‑book dynamics
Data from TRDR.io shows that the bid side is thickening between $71,800 and $63,000 on the BTC/USDT Binance book. The depth could provide a cushion for a price rebound if buying pressure materialises, but the true catalyst for such a move may lie outside the crypto sphere—most notably the outcome of the upcoming earnings season and broader macro‑economic signals.
Key takeaways
| Point | Implication |
|---|---|
| Large futures liquidations | Forced closures add downward pressure, but also clear the market of over‑leveraged positions, potentially setting the stage for a healthier reset. |
| Equity market weakness | A dip in risk assets tends to spill over into crypto; the current sell‑off is partly a reflection of broader market risk aversion. |
| Historical volatility | A 45 % correction is not unprecedented for Bitcoin; past cycles have recovered after similar swings. |
| Bid depth below $72k | Order‑book support could absorb further selling, but the decisive factor may be macro‑economic data rather than technical thresholds alone. |
| Analyst view | The price action is “within historical norms,” indicating that the market may simply be pricing in short‑term uncertainty rather than a fundamental breakdown. |
Outlook
While the plunge beneath $73,000 reignites debate over Bitcoin’s trajectory, the consensus among several market strategists is that the move is consistent with the asset’s volatility envelope. Traders and investors will be watching both the crypto‑specific order flow and the results of the U.S. earnings season to gauge whether the dip deepens or stabilises into a buying opportunity.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Readers should conduct their own research before making any trading decisions.
Source: https://cointelegraph.com/news/bitcoin-loses-dollar73k-us-stocks-sell-off-analyst-says-btc-trading-is-normal?utm_source=rss_feed&utm_medium=feed&utm_campaign=rss_partner_inbound
