BTC Flash Dump: Why Bitcoin Fell $4K in Hours and What Comes Next
It nearly felt inevitable after the most recent developments on Trump’s tariff entrance that bitcoin’s value would finally head south after a comparatively calm weekend.
Recall that the US Supreme Court ruled that most of the POTUS’s tariffs imposed in the previous yr had been unlawful, figuring out that he ought to have been unable to make use of the IEEPA (a 1977 emergency regulation) to levy taxes on imports from nearly all international locations.
Aside from calling the Court’s determination a “shame,” President Trump announced a ten% momentary world tariff below Section 122 – a regulation that was by no means used earlier than. A day later, he ramped up this taxation to fifteen%.
As it occurred a number of weeks in the past throughout probably the most intense verbal battle for Greenland, the influence on bitcoin wasn’t instant. At the time, the tariff threats between the US and the EU took place principally throughout the weekend, and BTC stood nonetheless.
However, as soon as the legacy futures markets opened on Sunday afternoon, bitcoin slumped by a number of grand inside an hour or so. This situation repeated on February 22/23 when the cryptocurrency plunged from $67,800 to a 17-day low of $64,350 (on Bitstamp). It discovered some assist there and now sits near $66,000.
If there’s one other substantial leg down, BTC’s subsequent key assist ranges may very well be at $58,500, $54,440, and $41,500, in accordance with Ali Martinez, who cited the BTC holder price foundation.
Bitcoin $BTC holder price foundation highlights three key assist ranges:
• $58,467
• $54,439
• $41,488 pic.twitter.com/fievX4HpdA— Ali Charts (@alicharts) February 22, 2026
The altcoins adopted swimsuit, with many dropping by over 5% throughout the identical timeframe. The complete worth of liquidated positions has jumped to nearly $500 million on CoinGlass. Longs are chargeable for rouhgly 90% of that quantity.
Santiment additionally weighed in on BTC’s newest crash, indicating that the open curiosity has dropped to simply $19.5 billion after the most recent liquidation cascade, which is “below half of the 2026 peak of $38.3 billion again on January 14.”
The analytics firm added that the social media FUD amongst retail traders has “shortly gone into FUD mode, which might traditionally assist propel a fast rebound.”
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