Bitcoin’s Price Plunge: A Tale of Woe (But Hope?) from the CIO

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Well, now, the Bitcoin price has been takin’ a mighty tumble, fallin’ double digits in a week that’s got folks clenchin’ their wallets tighter than a hound dog holdin’ a bone. Though the premier cryptocurrency seems to be wobblin’ back up like a tipsy sailor, that 14% dive on Thursday, February 5, has got the market howlin’ like a pack of wolves at a moonless night. In their latest report, a renowned pundit tried to untangle the riddles of this crypto conundrum.

Crypto Bear Markets End in Exhaustion, Not Excitement – Bitwise CIO

On Friday, February 6, Bitwise’s Chief Investment Officer, Matt Hougan, waxed poetic on the current state of the Bitcoin price, much like a preacher talkin’ to a congregation of confused souls. The man with the plan scribbled down why the market’s down, if it’ll fall further, and what might coax BTC back to its feet.

Hougan began by announcin’ what every wise man already knows: the crypto market’s got a habit of front-runnin’ its own shadow. In this latest tumble, the Bitwise CIO listed six factors, includin’ the four-year cycle’s ghost, investors dancin’ off to AI and metals, and that infamous October 10 liquidation event that left the market breathless and broke.

It’s worth notin’ that since the big leveraged blowout on October 10, 2025-when President Trump declared war on Chinese goods with a 100% tariff-things ain’t been the same. The market’s been chuggin’ along like a mule with a flat tire.

Other factors in the report included worries about Kevin Warsh runnin’ the Fed, quantum computing (that fancy new buzzword), and a macro risk-off sentiment. Let’s not forget, Bitcoin ain’t the only one takin’ lumps-minerals and stocks are cryin’ too, like a bunch of babies at a funeral.

The good news, as per Hougan, is that the sell-off’s showin’ signs of exhaustion. Like a dog who’s chased a rabbit all day and finally collapsed in the dirt.

According to onchain data, long-term holders have stopped sellin’ like they’re ridin’ a rollercoaster to hell, and some are nibblin’ around the edges like hungry squirrels. Open interest on bitcoin derivatives exchanges has dropped to levels last seen in 2024-old news, really.

Hougan then dropped a bombshell: if history’s to be believed, the Bitcoin price might still take a few more dives. But he reckons the premier cryptocurrency’s grown up, less likely to take a 77% bellyflop like in the old days. Though he couldn’t tell us when the bottom’ll hit, he hinted the cure might just be time. “Crypto bear markets end in exhaustion, not excitement,” he concluded, with the wisdom of a man who’s seen a thousand market storms.

Bitcoin Price At A Glance

As of this scribble, BTC sits at $67,834, a 4% leap in 24 hours that’s got folks grinnin’ like a cat with a plate of cream.

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2026-02-07 20:52