Bitcoin’s recent pullback has sparked heightened concerns regarding the potential turning point in its rally. Industry expert Mike McGlone, senior commodity strategist at Bloomberg Intelligence, has expressed that Bitcoin’s price movement below the $70,000 mark suggests a broader mean reversion process following years of speculative excess.
In a post shared on February 7, McGlone described Bitcoin as a product of the post-global financial crisis era, where a flood of liquidity fostered prolonged inflation in risk assets. As this economic cycle matures, he noted, Bitcoin appears to be gravitating back toward its historical mean, which closely aligns with the $64,000 level he emphasized.
McGlone backed his perspective with a weekly Bitcoin chart illustrating several tests of the mid-$60,000 mark. The volume data indicates significant trading activity around the $64,000 level, signaling that it has served as a structural support, absorbing selling pressure amid recent price declines.
Furthermore, the correlation between Bitcoin’s price and the S&P 500 highlights Bitcoin’s role as a leading indicator for overall risk sentiment. Historically, periods of sustained weakness in Bitcoin have coincided with, or even preceded, downturns in equity markets. With stock indices still holding elevated positions, a failure of Bitcoin to maintain the $64,000 level could signify increasing stress across risk assets.
McGlone pointed to the $64,000 threshold as a potential “line in the sand.” If this level is broken, it could initiate a domino effect, potentially impacting the stock market adversely. He warned that a definitive break below this level might accelerate negative momentum, prompting a more extensive reassessment of risk exposure, which could further affect equities and other sensitive markets.
In light of these concerns, Bitcoin’s volatility continues to make headlines. Following a tumultuous week where the cryptocurrency briefly fell below $61,000, it confirmed a deepening bear phase. The flagship asset has witnessed a decline of nearly 45% from its all-time high of about $126,000 recorded in October 2025, effectively erasing post-election gains and entering what analysts characterize as a classic crypto-winter correction.
During the period of February 5–6, Bitcoin experienced its steepest single-day decline since late 2022, plunging 15% before staging a sharp rebound of 11% that momentarily lifted prices back above the $70,000 threshold. This crash has been attributed to various factors, including macroeconomic pressures such as tariff uncertainties, doubts regarding Federal Reserve policy, and increased volatility in broader risk assets. Additionally, there has been a notable reversal in institutional inflows to U.S. Bitcoin ETFs, which recently reported net outflows in early 2026 after previously experiencing strong inflows.
On-chain metrics present a mixed picture; while retail wallets have been aggressively accumulating during dips and defending support in the $60,000–$63,000 range, larger holders appear to be distributing their assets, which has limited Bitcoin’s upward momentum.
As of the latest update, Bitcoin was trading at $69,464, reflecting a 2% increase over the past 24 hours. However, across the weekly timeframe, the cryptocurrency remains down approximately 11%, underscoring the ongoing uncertainty in the market.
