Bitcoin Plunges to $74,500 Amid Extreme Fear; Key Support at $74K Tested

Bitcoin dropped below $80,000 over the weekend, hitting a low of $74,500 on February 1, 2026—the fourth straight monthly decline—before rebounding to $78,866. The sell-off, fueled by macro uncertainty including renewed U.S. tariff threats, triggered over $2.2 billion in crypto liquidations on January 30, pushing the Fear & Greed Index to 14 (“extreme fear”). Technical indicators remain bearish: the 50-day EMA sits below the 200-day EMA, and the ADX stands at 32.1 on the daily chart, confirming a strong downtrend. While the RSI has dipped to 30—signaling oversold conditions—a sustained reversal remains unlikely without a close above $80,600, the 200-day moving average. A break below $74,000 could open a path to $69,000, a level now favored by 67.9% of traders on prediction markets.