Bitcoin Plunge Below $67K Amid Government Curb on Crypto Bailouts; ETH and Altcoins Slide

Bitcoin (BTC-USD) fell to $67,073 on February 03, 2026, its lowest since 2024, amid renewed selling after Treasury Secretary Scott Bessent said the U.S. government lacks authority to buy or bail out cryptocurrencies. The broader sell-off in global markets and a warning from Michael Burry that a prolonged decline could trigger a death spiral pressured digital assets further. Ether (ETH-USD) and other altcoins also declined. Year-to-date, bitcoin is down nearly 20%, marking its fourth consecutive month of losses. Flow and positioning data suggest investors are deleveraging rather than buying the dip, with 10X Research cautioning sentiment has shifted meaningfully and a clear catalyst is lacking. Fundstrat head of digital assets Sean Farrell notes the mid-$70,000 region as key support, but warns positioning risk in traditional markets could adversely affect crypto prices.