Crypto Patel warned on Feb 7, 2026 that Bitcoin may drop to $40,000 if key levels fail, after a recent crash left BTC trading near $70,000, as stated. He said rejection at $77,000–$79,000 and $86,000–$90,000 could trigger a deeper sell-off.
Current Status: $BTC forming LL & LH—Weakness Confirmed. He noted Bitcoin tested below $70,000, hitting about $59,800 before bouncing to roughly $71,800. This volatility liquidated both high-leverage longs and shorts.
Patel listed trading zones including $80,000 and $90,000 for short entries and cited $97,900 as the level that would invalidate the bearish thesis. He expects price to visit those order blocks before a potential next leg down toward $50,000–$40,000.
Meanwhile, Hunter Horsley of Bitwise said institutions view the drop as a buying opportunity, as mentioned. Hunter Horsley says institutions feel they’re finally getting another chance to buy Bitcoin at prices they thought they’d never see again.
Bitwise also reported nearly $200 million in net inflows across its ETFs, ETPs, and Alpha products last week, according to a separate post by Hunter Horsley (reported).
