Analysts Say BTC Crash to $65K Driven by ‘Emotional’ Selling; Bottom Seen at $57K–$60K
Bitcoin dropped to just above $65,000 on Feb 5, 2026, wiping out gains since the 2024 U.S. presidential election and erasing nearly $25,000 since last Wednesday. The move represents almost a 50% decline from the October 2025 all-time high. Analysts—most notably The Kobeissi Letter—attribute the fall to emotional, sentiment-driven selling rather than on-chain or ecosystem fundamentals. Popular crypto analysts differ on the bottom: Doctor Profit has open “big buy” orders at $57,000–$60,000 and plans to hold 2–3 months; MMCrypto calls this the final capitulation phase of a time-limited bear market and expects a near-term recovery. Altcoins also tumbled, with XRP the weakest, down ~20% in 24 hours and trading below $1.25. The crash triggered large liquidations across derivatives markets and renewed discussion about market positioning and short-term entry levels for traders.
Bearish
The article reports a sharp, sentiment-driven BTC decline (~50% from the October 2025 high, to ≈$65K) with analysts describing the move as emotional selling and capitulation. That pattern—rapid price falls without deterioration in fundamentals—typically increases volatility, forces liquidations, and can prolong downside as risk-off momentum feeds on itself. Short-term impact: elevated volatility, heavier selling pressure, and potential further downside toward analyst-suggested support around $57K–$60K as traders and funds de-risk. Derivatives liquidations and stop runs are likely in the near term, making scalp and short-term strategies riskier. Medium/long-term: if on-chain metrics and fundamentals remain intact, these capitulation moves can set buying opportunities and eventual recovery once selling exhausts (historical parallels: 2018–2019 and 2022 drawdowns where sentiment capitulation preceded multi-month recoveries). However, until clear signs of buying demand reappear (sustained volume, reduced outflows, lower liquidation rates), the immediate market bias stays bearish. Traders should tighten risk management, watch derivatives funding rates, open interest, and on-chain flows, and consider scaling entries near the $57K–$60K band mentioned by analysts.