Bitcoin fell from $68,000 to the low end of $65,500, erasing recent gains and sending the asset down 3.5% for the week. This puts Bitcoin on track to end February in the red, marking a 25% decline since the beginning of 2026.
bleeding during the day
On February 27th, the last weekday of the month, Bitcoin ( $BTC) endured a sharp decline, falling from a high of $68,000 to a volatile low of $65,500. The trigger was heightened tensions in the Middle East following reports that Iran had rejected a US request to stockpile enriched uranium. The diplomatic stalemate raised fears of an impending US military attack and shocked risk-on assets.
The daily chart shows a sudden reversal of fortune. Just before 4:35 a.m. ET, Bitcoin showed signs of strength, consolidating around the $67,000 level and testing the $68,000 resistance. The descent after that was fast. $BTC More than $2,000 in losses occurred within three hours as the Global Desk began pricing in the impact of a possible strike on oil shipping and international trade. Despite the temporary and slow recovery, secondary selling pressure pushed the price down to a low of $65,130.
The move essentially wiped out the gains from Wednesday as it approached the psychological milestone of $70,000, sending the asset down 3.5% in seven days.
With one day left in February, Bitcoin was expected to fall from $78,850 on February 1st to $65,400 as of 12:40 pm ET on February 27th, ending the month in the red for the second consecutive month. In January, assets fell from $87,500 to $78,850, a decline of about 10%. Since the beginning of 2026, Bitcoin has lost more than 25% of its value, fueling fears that the crypto market is entering another “crypto winter.”
geopolitical catalyst
While the US government maintains that diplomacy remains an option, the reality on the ground suggests otherwise. Analysts say military conflict is all but inevitable following evacuation orders from China, Britain and other countries.
Observers expect a “strong and asymmetric” response from Iran, unlike the orchestrated and low-impact retaliation seen in 2025. The biggest concern remains the closure of the Strait of Hormuz, which could paralyze global energy markets. In such a flight-to-safety environment, capital typically turns to gold, but Bitcoin remains tied to the performance of high-growth tech stocks and remains under severe liquidation pressure.
Glassnode’s new report highlights structural weaknesses beyond the headlines. Glassnode analysts argue that Bitcoin’s inability to break above $70,000 is due to a “structurally illiquid environment.” They argue that the market in 2026 will be fragile, unlike the fast rally in late 2025, which absorbed massive profit-taking. Nowadays, even a modest sell order is enough to cause large price changes.
Conversely, Glassnode identifies a “high conviction zone” between $60,000 and $69,000. Investors raised more than $400,000 during February $BTC within this range. This concentration of buyers has provided an important support floor and has so far prevented a full-scale capitulation, the report concludes.
Frequently asked questions ❓
- Why did Bitcoin drop on February 27th? Rising tensions in the Middle East, including the uranium standoff between Iran and the US, triggered risk-off selling.
- How far did you go? $BTC autumn? Bitcoin fell from $68,000 to $65,500 in less than three hours, erasing the week’s gains.
- What are the local impacts? Analysts have warned that a possible blockade of the Strait of Hormuz could disrupt global energy flows and hit markets from Asia to Europe.
- Does this signal a crypto winter coming? and $BTC It has fallen more than 25% since January, and many see this decline as confirmation of another long-term economic downturn.
