Bitcoin ran into heavy selling pressure near $71,000, and fresh institutional accumulation was not enough to force a breakout. The source material says Binance’s SAFU moved $300 million into Bitcoin, adding 4,225 BTC, while Strategy disclosed another purchase of 1,142 BTC for about $90 million. Price action still weakened as sellers used the rebound to exit positions.
Resistance near $71,000 remains intact
The market split is clear. Large entities are still adding exposure, yet supply keeps appearing whenever Bitcoin approaches the same resistance zone. Binance said the SAFU allocation was meant to reinforce the fund’s role as a long-term store of value, but on-chain data cited in the report suggests the coins came from Binance hot wallets rather than open-market spot buying. That distinction matters. Internal transfers do not create the same direct upward pressure as fresh exchange bids.
OKX CEO Star Xu also attacked the current structure of the market. He criticized rivals for leaning on marketing narratives and short-term attention instead of fundamentals, and warned that trust in the ecosystem could be damaged by behavior he linked to “Ponzi-like schemes.” His remarks added another layer to the current setup: the market is reacting not just to flows, but to doubts over how those flows are being presented.
Strategy adds more BTC as paper losses deepen
Strategy, formerly MicroStrategy, has not slowed its accumulation plan. A regulatory filing released Monday showed the company bought Bitcoin at an average price of $78,815 per coin. That lifts its total holdings to 714,644 BTC, valued in the report at roughly $49 billion. After the recent decline, the company’s treasury is now carrying about $5.2 billion in unrealized losses on paper.
During a recent earnings call, Strategy CEO Phong Le addressed concerns about leverage and debt service. He said Bitcoin would need to fall to $8,000 and stay there for five to six years before it would create a meaningful threat to the firm’s ability to service its convertible debt. That comment does not remove near-term price pressure, but it shows how the company frames the current drawdown.
Extreme technical readings clash with macro pressure
Some market gauges are already at rare levels. MN Trading founder Michaël van de Poppe said the Fear & Greed Index dropped to 5 over the weekend, while the RSI touched 15. According to the report, those readings were previously seen only around the 2018 bear-market bottom and the 2020 COVID crash. The signal is severe, yet Bitcoin has not produced a decisive rebound.
Macro conditions are still weighing on the market. ProCap CIO Jeff Park said Bitcoin remains sensitive to forced deleveraging in traditional finance portfolios, and the report described an unusually tight correlation with software stocks and other risk assets. That linkage has made it harder for Bitcoin to trade as a safe haven. If the $71,000 barrier holds, the report says the next test could be the February 5 low near $61,000, while $60,000 remains an important psychological support.
Ethereum and altcoins also remain under pressure
The weakness is spread across the market. Total crypto market capitalization has fallen about 10% over the past week to roughly $2.36 trillion. Ethereum is struggling to hold support near $2,000, and XRP has stayed above $1.40 while still trading under pressure. Bernstein analysts kept a bullish long-range view in the same report, calling the correction the “weakest bear scenario” in Bitcoin’s history and maintaining a $150,000 target for the end of 2026.