Bitcoin climbed as much as 9% on Wednesday, just several dollars shy of $70k, as gains accelerated during the US trading session alongside a broader rise in equities.
Bitcoin Climbs 9% Towards $70,000 as Technical Signals Meet Demand Floor
25 February 2026 - 23:01 CET
By Ana Pereira
Market sentiment improved after stablecoin issuer Circle posted better-than-expected fourth-quarter results, reporting about $770mn in revenue and earnings per share of $0.43, both ahead of forecasts.
Onchain data suggest the rally may still be technically driven. Binance’s Bitcoin fund flow ratio remains relatively low, a condition that historically can precede sharp upside moves fueled by short squeezes, according to Pelin Ay, a market analyst.
"If the ratio remains low, any upward price reaction could create the conditions for a strong short squeeze," Ay wrote in a note for CryptoQuant, describing the current move as potentially a relief bounce rather than the start of a sustained breakout.
Other major coins also surged on Wednesday, with Ether (ETH) and Solana (SOL) both posting double-digit intra-day percentage gains, while US equities rose for a second straight day. The Nasdaq 100 benchmark of tech stocks advanced 1.4% as at 21:54UTC.
Leverage unwind amplifies macro stress
In comments shared with Sandmark, Andrei Grachev, managing partner at DWF Labs and Falcon Finance, said the crypto markets volatility reflects a broader convergence of macro pressures and crypto-specific positioning rather than a structural shift in demand.
"What’s driving it is a convergence of macro and crypto-specific forces," Grachev said. "Tariff escalation and geopolitical risk are hitting risk assets across the board. But the crypto-specific pain is the leverage unwind."
Structural demand holds despite ETF outflows
Grachev said the pullback reflected crowded positioning rather than weakening fundamentals, noting that demand has held up despite roughly $6.18bn in US spot ETF outflows since November 2025.
“Over 190 publicly traded companies holding roughly 974,000 BTC on their balance sheets haven’t sold,” Grachev said. “That structural demand floor didn’t exist in prior cycles, and so far, it’s holding.”
After today’s rebound, bitcoin is now down over 21% year to date.
