$BTC 🖇️ $ETH 🖇️ $SOL
Between February 4 and 7, 2026, Bitcoin experienced a technical drop that left us with a significant lesson about the internal threads of the market. To understand this movement, we first need to know about Market Makers (professional financial entities and institutions that provide constant liquidity on exchanges so that you can always buy or sell).
These actors do not seek to bet on the price but to keep their accounts balanced, but there are moments when their own need for protection accelerates movements due to Negative Gamma.
Basically, negative gamma occurs when these institutions are forced to operate in the same direction as the trend to neutralize their risks. When the price began to retreat from $75,000 to $60,000, Market Makers had to sell large amounts of assets automatically to cover their positions. In doing so, their sales injected extra pressure that pushed the price even lower, creating a feedback cycle that increased volatility.
The important thing about analyzing these events is to understand that many times these drops do not respond to failures in the asset but to the rebalancing mechanics of large capitals. Maintaining transparency in the analysis allows us to see calmly that once these liquidation levels are completed, the market tends to seek a new point of stability.
Did you know that the movements of these large institutions can force them to sell even when they do not want to, or did you think that these drops were just due to fear from small investors?
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