The cryptocurrency market is currently in a sharp crash February 20, 2026, with Bitcoin dropping from a peak of around $126,000 in October 2025 to approximately $66,000-$67,000 today, a decline of about 47-50%.

Main reasons summarized:
Four-year market cycle: after a crazy rally, a harsh crypto correction/winter follows, as previously.
Leverage deleveraging: massive liquidations in futures and options, especially from Hong Kong funds and institutions.
Flight from risky assets: due to stock volatility, geopolitical tensions, Trump tariffs, and expectations of tighter monetary policies such as Kevin Warsh's nomination for the Federal Reserve.
Loss of confidence: Bitcoin has not behaved as a "digital gold"; gold rose while Bitcoin crashed, with withdrawals from ETFs and decreased liquidity.
The market is in a new "crypto winter," and the decline could continue to $50,000-$60,000 according to some analyses. This is not investment advice; the market is very volatile.