Coin Stories with Natalie Brunell

News Block: Bitcoin's Violent Selloff—What Triggered Crash and Is Bottom In? Epstein Files Mention Bitcoin 1,000 Times

53 snips
Feb 9, 2026
A fast dive into a brutal Bitcoin selloff and the murky theories behind what sparked the crash. Explores leverage, ETF option volume, and cascading deleveraging across derivatives. Looks at signs that might mark a washout versus warnings of deeper downside. Investigates Epstein files mentioning Bitcoin repeatedly and whether he tried to influence funding or development.
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INSIGHT

Derivatives Amplified The Crash

  • Leveraged positions in ETF options amplified the Bitcoin crash into a violent, cascading sell-off.
  • The derivatives layer can create multiple exposures to the same coin, quickly transmitting forced selling across markets.
INSIGHT

ETF Flows Show Holder Resilience

  • Despite heavy liquidations, spot Bitcoin ETFs saw net creations and net inflows during the episode.
  • Over 90% of ETF capital held through the crash, suggesting long-term holders largely didn't panic.
INSIGHT

Scarcity Still Verifiable On Chain

  • Bitcoin's hard cap remains verifiable on-chain despite paper derivatives layering multiple claims.
  • These shakeouts purge leverage and often shift ownership to longer-term, more convicted holders, setting up future recoveries.
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