Bitcoin tumbles to ~$73K as tariff comments and bearish sentiment spark mass sell-offs
Bitcoin fell to around $73,000 on Feb 3, 2026, its lowest since early 2025, extending a decline of more than 15% year-to-date and roughly 40% from its October 2025 record high. The sell-off intensified after President Trump’s tariff comments and his nomination of Kevin Warsh as Fed Chair tightened expectations for rate cuts and balance-sheet policy, pressuring risky assets. The drop erased roughly $19 billion in leveraged positions, while Ethereum slid to about $2,100. Key technical levels: immediate resistance at $80,000–$84,000, a critical support cluster near $65,000, and a bullish reversal threshold above $87,551. Gold posted its largest single-day gain since 2008 and silver spiked after recent volatility, underscoring a broader risk-off move. Despite a pro-crypto administration and strong institutional interest, Bitcoin is trading more like a high-risk asset than “digital gold,” increasing short-term volatility and testing major support levels for traders.
Bearish
The news signals a bearish outlook. Tariff comments from President Trump and the Fed Chair nomination tightened expectations for monetary easing, triggering a risk-off move that hit leveraged crypto positions and pushed Bitcoin down to ~$73K. The article cites a roughly $19 billion wipeout of leveraged bets and a ~40% decline from the October 2025 peak — clear evidence of forced deleveraging and elevated selling pressure. Technicals reinforce the negative bias: immediate resistance at $80K–$84K and a required reclaim of $87,551 to flip momentum, while support clusters near $65K are the next focal point. Historically, macro-driven shocks (rate expectations, political policy shifts) have produced quick, deep drawdowns in crypto — for example, during 2022 rate-hike-driven sell-offs and earlier leverage liquidations. Short-term: expect elevated volatility, possible continued downside as liquidations and risk-off flows persist, and tight trading ranges around key support. Traders should reduce leverage, tighten stops, or hedge (shorts, options) and watch macro cues (tariff developments, Fed signals, liquidity). Long-term: if pro-crypto policy and institutional demand remain intact, the structural bullish narrative could reassert when macro conditions stabilize — but timing is uncertain, so position sizing and risk management are critical.