All leading U.S. stock market benchmarks declined on Feb. 5, as geopolitical tensions and tech-related weakness weighed on equities.
Winter has arrived in the cryptocurrency market, as bitcoin has fallen below $70,000 for the first time since October 2024 amid the industry’s sell-off.
On the Chicago Mercantile Exchange, the price of one bitcoin fell by $4,910, or 6.67 percent, to $68,536 at 10:08 a.m. ET on Feb. 5.
Bitcoin—the flagship cryptocurrency that accounts for approximately 60 percent of the market—has plunged by about 45 percent since reaching an all-time high of $127,240 in October 2025. This year, it has declined by more than 20 percent.
Other crypto markets have also slumped, including Ethereum (minus 6 percent), XRP (minus 12 percent), Solana (minus 4 percent), and Cardano (minus 6 percent).
Liquidations have exacerbated the bearish situation. CoinGlass data suggest that more than $2 billion in long and short positions have been liquidated since the start of the trading week.
Looking ahead, investor confidence in cryptocurrency has been called into question, with the CoinMarketCap fear and greed index in “extreme fear” territory.
This is a complete reversal from 2025, according to Noelle Acheson, author of the Crypto is Macro Now daily newsletter.
“The crypto landscape has also taken on a different rhythm,” Acheson wrote on Feb. 5.
“For one, the mood couldn’t be more different: excitement last year, frustration and despair now. And that’s despite the regulatory and infrastructure progress. Understandable – prices set narrative, and they’re lower and heading down.”
As it became a major asset among institutional investors, bitcoin and other tokens were marketed as a hedge against market volatility and a store of value. However, the sharp drop in crypto prices coincides with the broader market’s recent losses.
All leading U.S. stock market benchmarks declined on Feb. 5, as geopolitical tensions and tech-related weakness weighed on equities.
“The move mirrors ongoing volatility in global equities, reinforcing crypto’s behaviour as a risk-sensitive asset in the current environment,” Saxo Bank strategists said in a Feb. 5 note.
“As long as equity volatility remains elevated, crypto may struggle to stabilise decisively.”
By Andrew Moran
