Bitcoin Plunges 46% as $1 Trillion Evaporates; Holders Show Resilience

Key Facts

1Bitcoin plunged 46% from its all-time high of $126,000.

2Price briefly broke below $61,000 on February 6, marking the steepest selloff since the FTX collapse.

3More than $1 trillion in market value evaporated during the crash.

4Sentiment data indicates most holders chose to maintain their positions rather than engage in panic selling.

Bitcoin has experienced a dramatic correction, plunging 46% from its all-time high of $126,000. The digital asset briefly dipped below the $61,000 mark on February 6, representing the most severe selloff since the FTX collapse. This massive market downturn resulted in the evaporation of over $1 trillion in total market capitalization, testing the psychological floor of the crypto industry. Despite the scale of the decline, on-chain sentiment data reveals that most long-term holders have opted to maintain their positions rather than succumbing to panic selling. This conviction suggests that while the immediate price action is severely bearish, the core investor base remains committed to the asset's long-term value. Analysts are now closely monitoring support levels to see if the market can stabilize after such a significant liquidation event.