TechFlow news, February 27 — According to CoinDesk, Bitcoin experienced its largest three-day drop since the FTX collapse in November 2022, falling 12.6% from Monday through Wednesday. Markus Thielen, founder of 10x Research, stated in a client report released Wednesday: "In a worst-case scenario, Bitcoin could fall to the $72,000–$74,000 range, where a rebound would likely occur."
Analysis shows the recent sell-off was primarily driven by tightening fiat liquidity and weakening institutional demand, pushing CME futures markets close to contango. Meanwhile, investors have expressed disappointment that the Trump administration has not moved swiftly to establish a national Bitcoin reserve. Thielen noted that the realized price of short-term holders (the average purchase price of addresses holding Bitcoin for less than 155 days) indicates a potential demand zone near $82,000.
At time of writing, Bitcoin has rebounded to $86,000, but analysts warn that market sentiment could deteriorate further as the March 4 deadline approaches for imposing tariffs on Canada and Mexico.
