Bitcoin's price dropped to $73,111, its lowest since November 2024, amid market volatility and macroeconomic uncertainties.
On February 3, Bitcoin's price fell to $73,111, marking its lowest point since early November 2024. Currently, it is trading at $76,715, reflecting a 2.3% decline within the last day.
The cryptocurrency reached an all-time high of $126,080 in October 2025, but has since seen a significant downturn. Following a period of consolidation around $80,000, Bitcoin's price has dropped 30% from its recent peak of $108,000, leading to 44% of its supply now being in unrealized loss, according to Glassnode's Sean Rose. He noted that the percentage of profitable Bitcoin has decreased from 78% to 56% during this period.
“Buyers who entered the market near the all-time high are now facing losses. The patience and conviction of investors will be tested in the coming weeks,” Rose stated.
In the past 24 hours, the futures market has experienced a liquidation volume of $704 million. The Relative Strength Index (RSI) has dipped into the oversold territory, raising concerns among analysts, as they suggest prices could fall another 20% to around $60,000 if the market follows patterns from the 2022 bear market.
Market Pressures and Altcoin Trends
Macroeconomic factors, including uncertainty about a potential government shutdown in the U.S., are adding to market pressure. Major stock indices are also underperforming, with the Nasdaq Composite down by 2.2%.
Other cryptocurrencies are mirroring Bitcoin's decline:
- Ethereum: $2,272 (-2%);
- Solana: $98 (-5.3%);
- XRP: $1.60 (-0.6%);
- BNB: $761 (-2.1%).
In the stock market, shares of crypto firms are also falling, with Coinbase's stock down 6% and Strategy's by over 8%. However, Terawulf, a mining company, saw its shares rise.
Despite the overall market downturn, spot Bitcoin ETFs attracted $561.9 million on February 2, ending a two-week outflow streak. However, the following day saw a net outflow of $272 million from these funds, with Fidelity's FBTC fund experiencing the largest withdrawal of $149 million. In contrast, the altcoin sector is seeing capital inflows, with Ethereum-based ETFs gaining $14.06 million and XRP-based funds attracting $19.46 million.
Addressing Market Concerns
Tom Lee, Chairman of Bitmine, responded to worries about the company's unrealized losses of $6.6 billion, asserting that the focus on future asset sales negatively impacting Ethereum's growth is misplaced. He emphasized that the Bitmine model is structured to outperform Ethereum over the market cycle, stating that the losses during downturns are a "feature, not a bug."
“These tweets miss the point of an ethereum treasury,” Lee commented, noting that the strategy is designed to track the price of Ethereum.
Searching for Market Stability
Data from CryptoQuant indicates a decline in profitable Bitcoins from 19.8 million in November 2024 to 11.2 million by February 2025, with approximately 8 million BTC now in unrealized loss. Analyst RugaResearch pointed out that current on-chain metrics suggest a capitulation phase, with investors who bought at local highs beginning to realize losses.
He compared the current market dynamics to patterns observed in previous years (2018, 2020, and 2022) that preceded recoveries. Although he noted that this phase does not guarantee a swift market rebound, he highlighted that it often presents good risk-reward opportunities for those with a risk appetite.
“If you have a risk appetite, this is typically where the best risk-reward opportunities arise,” the analyst stated.
However, the duration of the "searching for the bottom" phase has varied historically, lasting as long as eight months in 2018, with quicker recoveries in 2020 and 2022. Recently, Bitwise's Chief Investment Officer Matt Hougan suggested that a "full-blown crypto winter" may soon be concluding.
