BTCUSD Today, February 03: Bitcoin Stays Below $80K as Liquidations Mount

BTCUSD stays below $80,000 today, February 3, as crypto liquidations surge and risk appetite cools. The focus is whether BTCUSD can defend support near $70,000 after a sharp weekly drawdown. More than $2 billion in forced unwinds hit leveraged longs, while shifting Fed expectations following Kevin Warsh’s nomination keep yields and the dollar firm. For Swiss investors, thinner weekend liquidity and CHF-denominated ETP dynamics add another layer of risk. We break down key drivers, levels to watch, and practical steps for positioning.

BTCUSD price action and key levels

BTCUSD remains capped below $80,000 after a fast drop that briefly took prices under $78,000 over the weekend. The immediate focus is on the high $70,000s as near-term resistance and the $70,000 area as pivotal support. A clean reclaim above $80,000 would improve momentum. A daily close below $70,000 could invite trend followers and push downside extensions.

Order books tend to thin out on weekends, which magnifies swings when stops cluster. BTCUSD saw sharp wicks as forced selling met sparse bids. For Swiss traders using market orders on CHF ETPs or spot venues, consider wider spreads and slippage outside European hours. Limit orders and smaller sizing help reduce execution risk when liquidity is fragile.

What is driving crypto liquidations

More than $2 billion in forced liquidations hit the market as long positions were unwound across major venues. As collateral values fell, margin calls accelerated selling, which pressured BTCUSD further. This deleveraging loop tends to overshoot in both directions, but it often ends with cleaner positioning and lower funding until new risk builds again source.

Outflows from crypto funds added to pressure as traders reduced exposure alongside broader risk assets. Correlations with high beta equities picked up, while demand for safe cash rose. For BTCUSD, that means rallies face supply from sellers rebalancing. Watch on-chain exchange balances and weekly fund flow reports for signs the selling wave is easing.

Macro shift after Kevin Warsh’s Fed nomination

The nomination of Kevin Warsh to lead the Federal Reserve lifted policy uncertainty. Traders priced a higher-for-longer path for rates and a firmer dollar, both headwinds for BTCUSD and tech-heavy equity baskets. A stronger dollar tightens global financial conditions, often pressuring crypto until real yields stabilize source.

We are watching Treasury yield moves, dollar index momentum, and front-end rate expectations. For BTCUSD, a pause in yields could allow a reflex bounce. Monitor liquidity conditions during US hours, spot ETF flow snapshots, and derivative funding. If macro stress persists, downside tests toward $70,000 remain likely before a firmer base can form.

Swiss investor lens: trading and risk controls

Swiss investors often access Bitcoin via SIX-listed ETPs priced in CHF. These products track BTCUSD but can show wider spreads during US-led moves or weekends. Use limit orders, check NAV premiums or discounts, and avoid chasing gaps at the open. Review issuer liquidity, total expense ratios, and creation-redemption dynamics when sizing positions.

For active strategies, keep position sizes small and predefine stops. BTCUSD bulls may stage entries in tiers above $70,000 support, with alerts near prior weekend lows. Bears can fade weak bounces into the upper $70,000s. Avoid overleverage. If volatility spikes, step back and let the market settle before adjusting exposure.

Final Thoughts

BTCUSD is stuck below $80,000 as forced liquidations and a risk-off shift tied to Kevin Warsh’s Fed nomination keep buyers cautious. The market cleared a chunk of leverage, but fragile liquidity means swings can remain large, especially on weekends. For Swiss investors, focus on process: use limit orders on CHF ETPs, size smaller, and set alerts around $70,000 support. A decisive reclaim of $80,000 would improve the short-term picture, while a daily close under $70,000 risks a deeper slide. Track yields, the dollar, and fund flows. Patience and disciplined execution can protect capital until a clearer trend returns.

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The content shared by Meyka AI PTY LTD is solely for research and informational purposes.  Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.