Podcast Summary

Bitcoin News Alerts | Daily BTC News

Episode 2262: Bitcoin Sell-Off Called 'Purification' as $225K Target Emerges
Date: February 24, 2026
Host: Bitcoin News Alerts

Episode Overview

This episode dives into the ongoing Bitcoin market correction, the sentiment around extreme fear, and why some analysts view the ETF-driven sell-off as a “purification” process for Bitcoin’s long-term bull case. Host highlights several breaking news items—including a Michael Saylor update on quantum computing threats, insider trading allegations involving Jane Street and Terra, an inspiring solo miner story, and expert Bitcoin price predictions for 2026.

Market Watch & Sentiment [00:00–07:00]

• Bitcoin Price Action:

  • At live recording, Bitcoin hovers above $64,000, after dipping to $62,000.
  • Crypto market cap falls another 4% to $2.18T—its lowest in a long time.
  • Market sentiment is described as “horrendous,” with extreme fear dominating.

• Fear & Greed Index:

  • "Crypto greed and fear according to coin market cap is an 11. 11 is always a divine number, but that is obviously extreme fear." [02:30]
  • Index touched as low as 5 recently; "We ain’t seen levels this low since 2022 bear market with FTX. That’s kind of crazy." [03:20]

• Notable Quote:

  • “Bulk of the market in the red, unfortunately but very modest…and like I said, we can flip at any moment. Anything’s possible, of course.” [01:10]

• Quick News Hit:

  • U.S. stock market lost $800B following the “unaliving” of a major cartel boss—host reflects on visiting Pablo Escobar’s gravesite. [01:56]

Technical Analysis & Bearish Outlook [07:00–12:40]

• Chart Review:

  • Hourly: Modest green candles, but pressure persists.
  • Daily: Continuing red; “big red candle unfortunately” yesterday. [08:16]
  • Weekly/Monthly: Unprecedented six consecutive red candles, signaling significant bearish momentum.
  • "Will things finally flip for March?…Likelihood of February flipping—very slim, like Slim Shady." [09:30]

• Excess Loss Realization & Possible $44K Bottom:

  • Bitcoin's 90-day realized P/L ratio dropped below 1; analogies drawn to past bear markets where this historically led to up to 6 months of further downtrend.
  • "Bitcoin price may continuous downtrend for another five months or more. If history repeats, that will confirm a full transition into an excess loss realization regime." [11:25]
  • “Let’s entertain the $44,000 bottom…if this were to play out, expect us to continue hitting lower lows and eventually bottoming out at around 44,000.” [12:00]

Bitcoin ETF Sell-Off as 'Purification' [12:40–16:30]

• ETF Outflows and Narrative Shift:

  • Host references analysis (Ms. Jackson):
    • “Bitcoin ETF sell-off is purification of the bull case according to the investors.” [12:43]
    • “Bitcoin didn’t fail as an asset, it succeeded as an ETF. And that’s the problem.”
  • ETFs are dictating price direction as BlackRock’s IBIT ETF continues to see significant outflows.
  • “Every cycle the weak hands get filtered out and every cycle what replaces them is longer duration capital… 2017 retail sold at 20Gs, that was the top. 2021 funds sold at 69, the next top. And in 2025 ETF allocators are selling at 63, which is like a 50% discount from the top.” [15:05]

• Vision for Bitcoin’s Next Institutional Wave:

  • "What comes next? Sovereign wealth funds, corporate treasuries, pension capital... Money that holds for decades, not cycles. This is a long term game, fam.” [15:52]
  • “The institutional exit isn’t the end of the bitcoin thesis, it’s the purification of it. That’s right. Diamond hands remain strong.” [16:05]

Quantum Threat: Sailor vs. Buterin [16:30–19:50]

• Michael Saylor’s View:

  • Sailor, appearing on Natalie Brunell's Coin Stories, asserts, "Quantum threat to bitcoin is more than 10 years away.” [17:08]
  • “Any credible quantum threat would prompt coordinated software upgrades across global banking systems, Internet infrastructure, consumer devices, AI networks and Crypto protocols, including Bitcoin. We’d all upgrade—common sense, right?” [17:30]
  • “The crypto community will be the first to perceive the threat and to react to the threat. And they’ll be leading the way.” [18:12]

• Ethereum’s Vitalik Buterin’s View:

  • Buterin references a 20% risk of quantum computers breaking cryptography before 2030, urging a move to quantum-resistance by 2028.

• Debate Over Market Impact:

  • Many are skeptical quantum threat is driving current price action.
  • Checkmate’s take: “Attributing price being down to it as a primary factor is akin to blaming market manipulation for the red candles.” [19:35]

Insider Trading Lawsuit: Jane Street & Terra Collapse [19:50–22:00]

• Case Summary:

  • Terraform’s wind-down admin sues Jane Street in federal court, alleging insider trading and market manipulation during Terra’s May 2022 collapse.
  • Accusations: Former Terraform intern at Jane Street provided confidential info, helping Jane Street take $85M UST trade that helped trigger the crisis.

• Implications:

  • "It just goes to show you they’re all corrupt. BlackRock, Vanguard, Jane Street…that’s what corruption looks like.” [21:43]

Block Mining Lottery: Solo Miner’s $200K Jackpot [22:00–23:45]

• The Story:

  • Solo miner uses $75 worth of rented hash power to validate a block, earning a 3.125 BTC block reward worth ~$200,000.
  • Platform: CK Pool; service allows individuals to solo-mine by pooling infrastructure access.
  • “Winning a block as a solo miner is rare, even a sub-hundred dollar investment…can lead to a lucky payday.” [22:30]
  • 21 miners pulled off this feat in the past year, bagging $4 million total.

• Industry Update:

  • Mining difficulty rebounds after winter storm impact; marks a 15% hike, reversing last month’s sharpest decline since China’s mining ban in 2021.

2026 Bold Bitcoin Price Predictions [23:45–27:41]

• Market Snapshots:

  • Predictions for 2026 range widely—from $75,000 to $225,000 per BTC.
  • “The annual roundup of the predictions are officially in. We have predictions dropping as low as 75,000 as the highest and as high as 225,000.” [24:10]

• Highlights from Notable Forecasts:

  • Carol Alexander: $75K–$150K [25:10]
  • CoinShares: $120K–$170K
  • Standard Chartered: $150K, cut from previous $300K
  • Maple Finance (Sydney Powell): $175K
  • Bit Mining: $75K–$225K
  • Nexo: $150K–$200K

• Notable Quote:

  • "Bitcoin is entering 2026 with less supply risk and a broader capital base." [27:25]
  • “Let me know where you stand. D.C. bitcoin, you know, hitting potentially that high 225 was the highest number on there.”

Memorable Quote Segment – Reflection on Market Cycles [27:41–30:46]

• Freestyle Rhyme by Guest B:
  • “Closer to the bottom than the top…
    10 toes down when the weak hands drop.
    Red lights flash but the brown don’t crack,
    Brick I build it back…
    Tick tock, take the shot,
    True bitty, grip, plot thick, never stop…” [27:41–30:10]
  • Theme: endurance, stacking sats for the long term, criticism of paper hands and hype-chasers, emphasizing patience and quiet accumulation.

Closing Note

• Host invites listeners to visit bitcoinnewsalerts.net for video, livestream Q&As, and premium experiences.
• Final sign-off: “Hodl.”

Key Takeaways

• The market is in a deep state of fear, but cycles of capitulation may create conditions for long-term gains and bring in stronger hands and more stable capital.
• ETF outflows and the so-called “purification” of the bull case are reframed as a natural cleansing, shaking out weak hands and setting up for future sovereign and institutional accumulation.
• Serious but still distant quantum computing threats lead to debate: Saylor is unfazed, calling for crypto’s resilience, while others (like Buterin) urge preparations.
• Jane Street faces allegations of exploiting insider info in the Luna/Terra collapse—demonstrating pervasive issues of market manipulation.
• A solo miner’s win offers an underdog victory story, highlighting both the risks and life-changing rewards of even small investments in proof-of-work mining.
• Price predictions for 2026 remain all over the map, but consensus suggests range-bound volatility with clear long-term accumulation opportunities.

Notable Quotes & Timestamps

• “Market in the red, unfortunately but very modest. Like I said, we can flip at any moment…Anything’s possible.” — Host [01:10]
• “Crypto greed and fear according to coin market cap is an 11. 11 is always a divine number, but that is obviously extreme fear.” — Host [02:30]
• “Bitcoin price may continue its downtrend for another five months or more. If history repeats, that will confirm a full transition into an excess loss realization regime.” — Host [11:25]
• “The institutional exit isn’t the end of the bitcoin thesis, it’s the purification of it. Diamond hands remain strong.” — Host [16:05]
• "Quantum threat to bitcoin is more than 10 years away." — Michael Saylor (via Host recap) [17:08]
• “The crypto community will be the first to perceive the [quantum] threat and to react to the threat. And they’ll be leading the way.” — Saylor (via Host) [18:12]
• “It just goes to show you they’re all corrupt. BlackRock, Vanguard, Jane Street…that’s what corruption looks like.” — Host [21:43]
• “Winning a block as a solo miner is rare, even a sub-hundred dollar investment…can lead to a lucky payday.” — Host [22:30]
• Freestyle closing: “Closer to the bottom than the top…10 toes down when the weak hands drop. Red lights flash but the brown don’t crack…” — Guest B [27:41]

For full replays, market visuals, and the livestream Q&A, visit bitcoinnewsalerts.net.

Hodl.