{"id":40882,"date":"2026-02-05T19:44:12","date_gmt":"2026-02-05T19:44:12","guid":{"rendered":"https:\/\/financialrush.com\/?p=40882"},"modified":"2026-02-05T19:44:12","modified_gmt":"2026-02-05T19:44:12","slug":"bitcoins-selloff-pushes-price-below-70000-what-to-know","status":"publish","type":"post","link":"https:\/\/financialrush.com\/?p=40882","title":{"rendered":"Bitcoin&#8217;s selloff pushes price below $70,000. What to know"},"content":{"rendered":"<p> \n<\/p>\n<div id=\"RegularArticle-ArticleBody-5\" data-module=\"ArticleBody\" data-test=\"articleBody-2\" data-analytics=\"RegularArticle-articleBody-5-2\"><span class=\"HighlightShare-hidden\" style=\"top:0;left:0\"\/><\/p>\n<div class=\"InlineImage-imageEmbed\" id=\"ArticleBody-InlineImage-108261918\" data-test=\"InlineImage\">\n<div class=\"InlineImage-wrapper\">\n<div>\n<p>Ekaterina Goncharova | Moment | Getty Images<\/p>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"group\">\n<p>Crypto prices have declined sharply in recent weeks \u2014 and some analysts warn of more pain ahead for investors. <\/p>\n<p>The price for <span class=\"QuoteInBody-quoteNameContainer\" data-test=\"QuoteInBody\" id=\"RegularArticle-QuoteInBody-1\"><a href=\"https:\/\/www.cnbc.com\/quotes\/BTC.CM=\/\">bitcoin<\/a><span class=\"QuoteInBody-inlineButton\"><span class=\"AddToWatchlistButton-watchlistContainer\" id=\"-WatchlistDropdown\" data-analytics-id=\"-WatchlistDropdown\"><button class=\"AddToWatchlistButton-watchlistButton\" aria-label=\"Add To Watchlist\" data-testid=\"dropdown-btn\"><span class=\"AddToWatchlistButton-addWatchListFromTag\"\/><\/button><\/span><\/span><\/span>, the most popular cryptocurrency, <a href=\"https:\/\/www.cnbc.com\/2026\/02\/05\/bitcoin-price-today-70000-in-focus.html\">sank below $67,000<\/a> on Thursday, touching its lowest level in more than a year. Analysts had been watching $70,000 as a key psychological threshold below which prices were likely to break further. <\/p>\n<p>The digital asset has fallen nearly 50% from its recent high in October, when bitcoin peaked around $126,000. Bitcoin was down about 10% during trading on Thursday as of 1:30 p.m. E.T.<\/p>\n<p>Barry Bannister, chief equity strategist at Stifel, wrote in a research note Wednesday that bitcoin could ultimately bottom out around $38,000 \u2014 down about 70%. <\/p>\n<\/div>\n<div role=\"region\" aria-labelledby=\"Placeholder-ArticleBody-Video-108261593\">\n<div role=\"button\" tabindex=\"0\" id=\"Placeholder-ArticleBody-Video-108261593\" class=\"PlaceHolder-wrapper\" data-vilynx-id=\"7000402898\" data-test=\"VideoPlaceHolder\">\n<div class=\"InlineVideo-videoEmbed\" id=\"InlineVideo-0\" data-test=\"InlineVideo\">\n<div class=\"InlineVideo-wrapper\">\n<div class=\"InlineVideo-inlineThumbnailContainer\"><span class=\"InlineVideo-videoButton\"\/><span\/><\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"group\">\n<p>He said he reached that conclusion based on trends and price moves during past \u201cbitcoin super-bears,\u201d or periods of steep downturns. <\/p>\n<p>\u201cThis is not a \u2018bull market correction\u2019 or \u2018a dip,'\u201d Matt Hougan, chief investment officer at Bitwise Asset Management, a crypto money manager, <a href=\"https:\/\/experts.bitwiseinvestments.com\/cio-memos\/the-depths-of-crypto-winter\" target=\"_blank\">wrote<\/a> in a note Monday. <\/p>\n<p>\u201cIt is a full-bore, 2022-like, Leonardo-DiCaprio-in-The-Revenant-style crypto winter \u2014 set into motion by factors ranging from excess leverage to widespread profit-taking by OGs,\u201d Hougan wrote. OGs refer to early investors in bitcoin. <\/p>\n<\/div>\n<h2 id=\"crypto-sell-off-comes-amid-broad-support-by-trump\" class=\"ArticleBody-subtitle\"><a id=\"headline0\"\/>Crypto sell-off comes amid broad support by Trump<\/h2>\n<div class=\"InlineImage-imageEmbed\" id=\"ArticleBody-InlineImage-108112980\" data-test=\"InlineImage\">\n<div class=\"InlineImage-wrapper\">\n<div>\n<p>US President Donald Trump speaks during a the White House Crypto Summit in Washington, DC, March 7, 2025.\u00a0<\/p>\n<p>Jim Watson | AFP | Getty Images<\/p>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"group\">\n<p>The crypto sell-off comes amid broad support for cryptocurrency by President Donald Trump and his administration. <\/p>\n<p>Trump promised to make the U.S. a \u201c<a href=\"https:\/\/apnews.com\/article\/donald-trump-bitcoin-cryptocurrency-stockpile-6f1314f5e99bbf47cc3ee6fc6178588d?utm_source=copy&utm_medium=share\" target=\"_blank\">bitcoin superpower<\/a>\u201d while on the campaign trail, and said he wants to make the U.S. the \u201c<a href=\"https:\/\/www.whitehouse.gov\/crypto\/\" target=\"_blank\">crypto capital of the world<\/a>.\u201d Trump signed an executive order within days of taking office to promote digital assets, and the White House and U.S. regulators have pursued supportive policies.<\/p>\n<p>Bitcoin ETFs <a href=\"https:\/\/www.cnbc.com\/2024\/01\/11\/bitcoin-etfs-begin-trading-on-us-exchanges-posting-gains-on-first-day-as-crypto-prices-rise.html\">began trading on U.S. stock exchanges<\/a> about two years ago, <a href=\"https:\/\/www.cnbc.com\/2026\/01\/09\/blackrocks-bull-case-for-bitcoin-access-among-retail-investors.html\">making it easier<\/a> for investors to buy and sell crypto. <\/p>\n<\/div>\n<div class=\"group\">\n<div class=\"RelatedContent-relatedContent\" id=\"RegularArticle-RelatedContent-1\">\n<div class=\"RelatedContent-container\">\n<div class=\"RelatedContent-nonCollapsibleContent\">\n<h2 id=\"read-more-cnbc-personal-finance-coverage\" class=\"RelatedContent-header\">Read more CNBC personal finance coverage<\/h2>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"group\">\n<p>So, why have crypto prices dropped in recent weeks and months?<\/p>\n<p>Because \u201cgood news doesn\u2019t matter\u201d In the \u201cdepths\u201d of a crypto winter, as seen in 2018 and 2022, for example, according to Hougan.<\/p>\n<p>\u201cWe\u2019re not going to rally because Wall Street is hiring aggressively or Morgan Stanley is ramping up on crypto,\u201d he wrote. \u201cThat will matter in the long term, but not now. Crypto winters don\u2019t end in excitement; they end in exhaustion.\u201d<\/p>\n<\/div>\n<h2 id=\"contributors-to-the-crypto-winter\" class=\"ArticleBody-subtitle\"><a id=\"headline1\"\/>Contributors to the crypto winter<\/h2>\n<div class=\"group\">\n<p>The current one started in January 2025, he said. <\/p>\n<p>However, it wasn\u2019t readily evident at the time due to enthusiasm among institutional investors for digital assets \u2014 which \u201cpapered over\u201d a \u201cbrutal winter\u201d among retail investors, according to Hougan.<\/p>\n<p>Analysts point to other contributors, too. <\/p>\n<p>For example, \u201ccredit stress has risen in the tech sector\u201d since mid-2025, dragging down prices for bitcoin, which are seen as a \u201cspeculative tech-stock-like instrument,\u201d according to Stifel\u2019s Bannister.<\/p>\n<\/div>\n<div class=\"group\">\n<p>Bitcoin has also been selling off amid a <a href=\"https:\/\/www.cnbc.com\/2026\/02\/04\/stock-market-today-live-updates.html\">broader pullback<\/a> in growth stocks and amid \u201c<a href=\"https:\/\/www.cnbc.com\/2025\/12\/09\/the-fed-decision-is-expected-to-feature-a-rate-cut-and-a-lot-more-heres-what-to-expect.html\">hawkish<\/a>\u201d interest rate cuts by the Federal Reserve, Bannister wrote. <\/p>\n<p>\u201cHawkish cuts\u201d \u2014 meaning the central bank cut interest rates while <a href=\"https:\/\/www.cnbc.com\/2025\/12\/10\/cnbc-daily-open-a-hawkish-cut-by-the-fed-could-dull-festivities.html\">suggesting it could be a while before it cuts again<\/a> \u2014 are \u201cominous\u201d for bitcoin, which, similar to stocks in the Nasdaq 100, tends to move higher with \u201cdovish\u201d policy, Bannister wrote. Dovish policy aims for lower interest rates to promote economic growth and employment.<\/p>\n<p>Crypto winters typically last about 13 months \u2014 meaning the current one may end soon, according to Hougan. <\/p>\n<p>\u201cWhat could cause the clouds to dissipate? Strong economic growth that sparks an aggressive risk-on rally, a positive surprise on the <a href=\"https:\/\/www.cnbc.com\/2026\/01\/11\/crypto-lawmakers-are-preparing-to-try-again-on-major-bill-what-can-happen-next.html\">Clarity Act<\/a>, signs of sovereign adoption for bitcoin, or just the passage of time,\u201d he wrote. <\/p>\n<\/div>\n<h2 id=\"dont-hold-more-than-5-in-crypto\" class=\"ArticleBody-subtitle\"><a id=\"headline2\"\/>Don\u2019t hold more than 5% in crypto<\/h2>\n<div class=\"group\">\n<p>For investors, the price decline makes it important to do a gut check about bitcoin and crypto, experts say.<\/p>\n<p>Generally speaking, bitcoin is a volatile asset \u2014 meaning gains can be big, but so can losses. Financial advisors typically recommend that bitcoin and other digital assets be limited to a very small share of your portfolio.<\/p>\n<\/div>\n<div role=\"region\" aria-labelledby=\"Placeholder-ArticleBody-Video-108261524\">\n<div role=\"button\" tabindex=\"0\" id=\"Placeholder-ArticleBody-Video-108261524\" class=\"PlaceHolder-wrapper\" data-vilynx-id=\"7000402901\" data-test=\"VideoPlaceHolder\">\n<div class=\"InlineVideo-videoEmbed\" id=\"InlineVideo-0\" data-test=\"InlineVideo\">\n<div class=\"InlineVideo-wrapper\">\n<div class=\"InlineVideo-inlineThumbnailContainer\"><img decoding=\"async\" class=\"InlineVideo-videoThumbnail\" src=\"https:\/\/image.cnbcfm.com\/api\/v1\/image\/108261540-260204_cw_thumbnail_2.jpg?v=1770233766&w=750&h=422&vtcrop=y\" alt=\"Bitcoin faces selling pressure as investors rotate out of risk-on assets: CNBC Crypto World\"\/><span class=\"InlineVideo-videoButton\"\/><span\/><\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"group\">\n<p>\u201cTo me, no one should hold more than 5% in any concentrated asset,\u201d said certified financial planner Carolyn McClanahan, founder of Life Planning Partners in Jacksonville, Florida, and a member of the <a href=\"https:\/\/www.cnbc.com\/advisor-council\/\">CNBC Financial Advisor Council<\/a>.<\/p>\n<p>However, even with a small stake in crypto, you should \u201chave a process for investing and understanding when to buy and sell,\u201d said Ivory Johnson, CFP, founder of Delancey Wealth Management in Washington, D.C., who is also a member of the Council. He said he sold client holdings when the price was about $80,000, which still netted gains.<\/p>\n<\/div>\n<h2 id=\"crypto-decline-a-buying-opportunity\" class=\"ArticleBody-subtitle\"><a id=\"headline3\"\/>Crypto decline a \u2018buying opportunity\u2019?<\/h2>\n<div class=\"group\">\n<p>As with any investment, you should know why you own cryptocurrency.<\/p>\n<p>\u201cIn my opinion, if you\u2019re optimistic about bitcoin long-term, then [this drop] is a buying opportunity,\u201d said Barry Glassman, CFP, founder and president of Glassman Wealth Services in Vienna, Virginia, who also serves on the CNBC Financial Advisors Council. <\/p>\n<p>He does not invest client assets in bitcoin, but said about half of his clients have exposure through either a brokerage account or crypto wallet.<\/p>\n<\/div>\n<blockquote data-test=\"Pullquote\">\n<div class=\"Pullquote-pullquote\" style=\"border-top-color:#002f6c\">\n<div>\n<p>It is a full-bore, 2022-like, Leonardo-DiCaprio-in-The-Revenant-style crypto winter.<\/p>\n<div class=\"Pullquote-sourceWrapper\">\n<p>Matt Hougan<\/p>\n<p>chief investment officer at Bitwise Asset Management<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/blockquote>\n<div class=\"group\">\n<p>Glassman also pointed out that bitcoin has had huge drops before. In November 2022, for instance, it was trading at about $16,360 after hitting $65,500 a year earlier \u2014 a 75% drop.\u00a0<\/p>\n<p>On the other hand, if you bought bitcoin at a higher price than it is now, \u201cask yourself, \u2018Would I buy bitcoin today?'\u201d McClanahan said.<\/p>\n<p>\u201cIf you can\u2019t say to yourself that yes, you\u2019d buy today, then you should probably sell your holdings,\u201d she said.<\/p>\n<\/div>\n<h2 id=\"tax-considerations\" class=\"ArticleBody-subtitle\"><a id=\"headline4\"\/>Tax considerations<\/h2>\n<div class=\"group\">\n<p>If you do sell bitcoin at a lower price than when you purchased, you can use those losses to offset gains you earn from other investments and rebalance your portfolio \u2014 so-called <a href=\"https:\/\/www.cnbc.com\/2023\/12\/19\/3-year-end-investment-tax-tips-from-top-ranked-financial-advisors.html\">tax-loss harvesting<\/a>.\u00a0<\/p>\n<p>Also, be aware of the <a href=\"https:\/\/www.cnbc.com\/2022\/07\/05\/how-investors-can-avoid-violating-wash-sale-rules-when-realizing-tax-losses.html\">wash-sale rule<\/a>, which disallows the loss if you buy the same or substantially identical investment within 30 days. <\/p>\n<p>If you own bitcoin directly, it is not subject to the rule: You\u00a0could\u00a0sell and then\u00a0quickly rebuy\u00a0and still\u00a0realize<strong> <\/strong>the losses. However, if you own bitcoin through an ETF, any losses at sale are subject to the rule \u2014 so you\u2019d have to wait at least 30 days to repurchase.<\/p>\n<p>Also, if your losses exceed your gains for the year, you can use up to $3,000 of the loss to offset other income on your tax return, McClanahan said. Any leftover loss carries forward to future tax years.<\/p>\n<\/div>\n<\/div>\n\n<br \/><a href=\"https:\/\/www.cnbc.com\/2026\/02\/05\/bitcoin-prices-crypto-crash-selloff-investors.html\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Ekaterina Goncharova | Moment | Getty Images Crypto prices have declined sharply in recent weeks \u2014 and some&hellip;\n","protected":false},"author":3,"featured_media":40883,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[],"class_list":["post-40882","post","type-post","status-publish","format-standard","has-post-thumbnail","category-investing","cs-entry","cs-video-wrap"],"_links":{"self":[{"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/posts\/40882","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/financialrush.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=40882"}],"version-history":[{"count":0,"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/posts\/40882\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/media\/40883"}],"wp:attachment":[{"href":"https:\/\/financialrush.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=40882"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/financialrush.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=40882"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/financialrush.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=40882"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}