Bitcoin’s February "Stress Test":
Consolidation Before the Climb?
After a brutal start to 2026 that saw $2 trillion wiped from the total crypto market cap, Bitcoin is finally showing signs of stabilization.
The Recap:
The Crash: BTC fell from its $126k peak (Oct 2025) to a "max pain" low near $60k this week.
The Drivers: A "hawkish" shift at the Fed, massive ETF outflows, and $5.4B in leveraged liquidations created a perfect storm.
The Bounce: BTC has reclaimed the $70k–$78k range. Analysts at Bernstein and Standard Chartered maintain a long-term $150k target for late 2026.
What to Watch:
Oversold RSI: Technicals hit levels not seen since the 2020 COVID crash.
Institutional Floors: Strategy (MSTR) and other treasuries continue to accumulate near the $75k cost basis.
Verdict: February is shaping up to be a month of "grinding out a bottom." Patience is the primary trade right now.
