Bitcoin Bounces Back to $70,000 after Multi‑Billion‑Dollar Crash – Market Still Under Pressure
February 10, 2026 –
After a sharp, intra‑day plunge that saw Bitcoin briefly dip below the $60,000 mark on Thursday, the leading cryptocurrency has steadied in a narrow range between $68,000 and $71,000. As of early Monday trade, the digital asset was hovering near $69,300, roughly 3 % lower than the previous close. While the rebound signals a short‑term technical recovery, the broader crypto market remains in a downtrend.
Market Overview
- Overall crypto capitalisation fell 2.2 % on the day, with the majority of top‑ten assets posting losses on both daily and weekly charts.
- Ethereum (ETH) continued its decline, slipping about 3.8 % over the past 24 hours and trading just above the $2,000 threshold—a level that has now been breached for a full week, resulting in a cumulative loss of roughly 12 % since early February.
- Solana (SOL) was the hardest‑hit among the large‑cap tokens, dropping around 4 % in the same period.
The sector’s momentum is still negative despite a modest bounce following last week’s market‑wide sell‑off.
On‑Chain Insight: Defensive Positioning
Glassnode analysts highlighted that Bitcoin’s market stance remains defensive across spot and derivatives markets. Their metrics indicate that unrealised losses now represent about 16 % of Bitcoin’s market capitalisation, a ratio that mirrors the stress seen in early May 2022 when substantial deleveraging preceded the Terra‑driven crash. Although on‑chain activity such as transaction volume shows signs of strengthening, profit‑and‑loss conditions remain deteriorating, suggesting that demand is tentative rather than robust.
Sentiment & Liquidity
- Fear & Greed Index: The crypto‑specific Fear & Greed Index stayed in the “extreme fear” zone for most of the past month, confirming prevailing investor anxiety.
- Liquidations: Data from CoinGlass show that leveraged positions continued to be forced out, with roughly $344 million in liquidations across all assets in the last 24 hours. Bitcoin accounted for the largest share at about $182 million, followed by Ethereum with $71 million. These figures are modest compared with the multi‑billion‑dollar liquidations that ripped through the market toward the end of last week.
ETF Flows
- Spot Bitcoin ETFs recorded net outflows of $318 million for the week ending 6 February, though daily inflows turned positive later in the week. Cumulative net inflows to Bitcoin ETFs now total $54.7 billion, according to SoSoValue.
- Spot Ethereum ETFs saw net outflows of $166 million over the same week, with a single day of net inflows on 3 February. Cumulative inflows for Ethereum‑focused funds stand at approximately $11.8 billion.
ETF activity suggests that institutional interest remains sizeable, yet short‑term sentiment is still cautious.
Macro backdrop
U.S. Treasury yields climbed at the start of the week as investors awaited a slate of delayed economic data. The 10‑year note rose to 4.236 % and the 30‑year to 4.889 %, reflecting heightened expectations for tighter monetary conditions. All eyes are now on the upcoming non‑farm payroll report, slated for 11 February, which is projected to show 60 000 new jobs and an unchanged unemployment rate of 4.4 %.
Analysis & Key Takeaways
- Technical resilience, not a full recovery: Bitcoin’s ability to rebound into the $70k range demonstrates short‑term price support, but the asset remains down on the day and week, indicating that the broader downtrend is still intact.
- Defensive market structure: On‑chain data reveal a cautious market posture, with a significant share of unrealised losses. Historical parallels to May 2022 imply that a robust reversal would likely need fresh spot demand and a reduction in leveraged exposure.
- Continued risk aversion: Extreme‑fear sentiment and ongoing liquidations point to a risk‑off environment. Traders may remain hesitant to add new exposure until clearer macro data or a decisive catalyst emerges.
- Institutional liquidity flowing in, not out: ETF inflow balances remain strongly positive, underscoring that long‑term investors are still allocating capital to crypto, even as short‑term volatility persists.
- Macro influences cannot be ignored: Rising Treasury yields and upcoming employment data could sway risk appetite across both traditional and crypto markets, potentially amplifying or dampening price movements in the coming days.
Bottom line: Bitcoin’s regain to the $70,000 level offers a brief respite after a multi‑billion‑dollar crash, but the broader crypto ecosystem is still navigating a bearish landscape marked by defensive positioning, elevated fear, and modest liquidity outflows. Market participants should monitor on‑chain metrics, ETF flow trends, and macroeconomic releases for clues on the next directional move.
Source: https://thedefiant.io/news/markets/bitcoin-recovers-usd70-000-market-update-feb-9-2026
