On 8 February 2026, Michael Saylor shared the phrase "Orange Dots Matter", a message interpreted as reinforcing Strategy's long-term Bitcoin accumulation approach. Strategy currently holds 713,502 BTC, and with Bitcoin trading around $71,100–$71,206, the firm's position exceeds $50 billion while the dashboard highlights total BTC holdings and spot price rather than short-term performance. Bitcoin's price action, including a small daily pullback, a roughly 2.5% gain over 24 hours, and an almost 8% weekly decline, is framed against Saylor's emphasis on steady accumulation over market volatility.

Bitcoin mining difficulty fell 11.16% to 125.86 T at block height 935,429 after a January US winter storm disrupted power across 34 states. Foundry USA’s hashrate briefly dropped from nearly 400 EH/s to around 198 EH/s before rebounding to 354 EH/s, and the next adjustment on February 20 could lift difficulty about 5.63% to 132.96 T.

According to CoinGlass data, Bitcoin saw a sharp liquidation spike as $59.11 million in short positions were wiped out within four hours, versus just $828,780 in longs, creating a 7,132% imbalance. Over the past 24 hours, shorts made up $102.44 million of $120.19 million in total liquidations, highlighting heavy bearish mispositioning, but analysts caution that a lasting trend change still depends on genuine spot demand after the squeeze.

Bitwise advisor Jeff Park argues that the sharp Bitcoin sell-off on February 5, 2026, when BTC briefly hit $60,000, stemmed from deleveraging in traditional finance portfolios rather than a crypto-specific shock. He says risk reduction in multi-asset strategies spilled over into hedged BTC positions and forced selling in products such as Bitwise’s Bitcoin ETF, even as spot BTC ETFs still recorded net inflows and prices rebounded in the following days. Park believes framing the move as a technical event tied to TradFi dynamics highlights Bitcoin’s maturation and may support renewed dip buying.

On Sunday, BTC/USD climbed to $71,000 and was up 20% versus Friday's 15‑month lows, according to TradingView, though intraday gains peaked near 3%. Analysts Filbfilb, Tony Severino and BitBull cautioned that final capitulation may still lie ahead, with one calling for a "real bottom" below $50,000 and Checkonchain citing a U.S. spot ETF cost basis around $82,000.

Bitcoin's price has fallen from a peak near $126,000 to the $70,000 region, with the Fear & Greed Index dropping into the 5–20 range as retail traders and Short-Term Holders sell at a loss. On-chain data shows STH supply shrinking from around 8 million BTC and STH-MVRV sliding to roughly 0.75–0.78, while whales cut longs and add shorts near $69,000, suggesting one more downside liquidity sweep is possible before a recovery base forms.

According to Strategy, it held 713,502 BTC valued at about $59.75 billion as of February 1, with a total cost basis of $54.26 billion and an average purchase price of $76,052. With Bitcoin near $60,000, the position sits below cost, even as 2025 delivered a 22.8% BTC yield and the quarter showed a net loss of $12.4 billion.

On February 7, Bloomberg Intelligence's Mike McGlone warned on X that Bitcoin's move below $70,000 points to mean reversion toward a heavily traded $64,000 area. He flagged $64,000 as a key support level based on repeated tests and concentrated volume. BTC was at $69,464, up ~2% over 24 hours but roughly -11% on the week.