A Feb. 24 research note argues Bitcoin's familiar four-year bust cycles may be fading, citing lower realized volatility and a larger market. By Jan. 30, 2026, spot ETFs held nearly 1.3 million BTC (~6.4%) and public companies held over 1 million BTC (>5%), suggesting a steadier market structure. The study says this could reduce the odds of deep drawdowns.

Morgan Stanley plans to launch direct spot Bitcoin trading for retail investors on its E*TRADE platform in early 2026, partnering with Zerohash for trading and custody support. The bank will allow clients to buy, sell, and hold Bitcoin within standard brokerage accounts, with additional services such as lending, yield products, and in-house custody expected to follow. Bitcoin recently traded at $66,132 with a 24-hour volume of $43.370B, down 3.00% over the same period.

U.S. margin balances reached $1.279 trillion in Jan‑2026, a $53.445 billion increase from Dec‑2025, underscoring the leverage behind Bitcoin's advance. The U.S. Treasury's Feb. 4 guidance outlined up to $38B in liquidity buybacks and $75B for cash management, shaping collateral conditions as recession‑leaning indicators and policy timing keep risk correlations elevated.

Bitcoin fell about 3.3% within four hours on February 27, sliding from $68,000 to $65,770 after failing to reclaim $70,000 during the rebound that began on February 24. The $64,000 area is flagged as pivotal support, and a breach is seen as risking deeper losses and potential spillovers to U.S. equities.

Bitcoin has been confined between $60,000 and $70,000 for weeks, briefly slipping under $67,000 on Thursday. On February 27, 2026, Willy Woo said the investor-driven sell-off appears spent, pointing to a month of sideways trade and a likely rejection of any mid-$70,000 rebound, with the bear trend ending in Q4 2026. On February 26, 2026, Matt Hougan argued the decline was simply holders selling, with some reallocating to AI investments.

On February 26, Bitwise CIO Matt Hougan said on X that Jane Street is not responsible for Bitcoin’s recent slide, describing the pullback as a "classic crypto winter." His remarks followed renewed speculation fueled by lawsuits and viral threads, as Bitcoin traded over 46% below its all‑time high. He pointed instead to de‑risking, leverage reductions, and capital rotation.

On February 25, Wikipedia co‑founder Jimmy Wales said on X that Bitcoin will likely persist thanks to its decentralized design but may fail as money. He argued only catastrophic failures could threaten the network and suggested its long‑run price could slide below $10,000 by 2050, leaving BTC a niche tool rather than dominant money.

U.S.-listed spot Bitcoin ETFs attracted about $1.02 billion in net inflows from Tuesday to Thursday, while Bitcoin traded below its all-time high. BlackRock's iShares Bitcoin Trust led the rebound after five weeks of net outflows, and spot Ether and Solana ETFs also recorded positive flows over the same period. Several analysts noted that the roughly 50% drawdown in Bitcoin may be nearing exhaustion, although they warned a sharp V-shaped recovery remains unlikely.