Buy Bitcoin Searches Explode as BTC Rebounds From Brutal 50% Crash Is the Comeback Just Getting Started?
What Is Fueling the “Buy Bitcoin” Surge and Is the Jane Street Lawsuit a Factor
Online interest in Bitcoin has surged to levels not seen in five years, with Google search data showing a sharp spike in queries for “buy bitcoin” on February 25, 2026. The renewed retail curiosity comes as Bitcoin rebounds from one of its most volatile corrections in recent memory, prompting fresh debate about what is driving the momentum.
According to Google Trends, global search activity for “buy bitcoin” has climbed back to levels last recorded during the 2021 bull market cycle. The spike coincides with Bitcoin’s recovery from a nearly 50 percent drawdown and has reignited speculation about whether the market is entering a new phase of accumulation.
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| Source: Kalshi Prediction Market |
While price action remains below its 2025 peak, the combination of rising search interest, improving trading volumes, and a shift in market narratives suggests that investor psychology may be turning.
Bitcoin’s Price Rebound After a Deep Correction
Bitcoin reached a record high above $126,000 in October 2025 before entering a steep correction. Over the following months, macroeconomic uncertainty, heavy ETF outflows, and geopolitical tensions weighed on risk assets broadly, pushing Bitcoin down nearly 50 percent at its lowest point.
Earlier this week, Bitcoin briefly traded below $63,000, marking one of its most significant retracements since the previous cycle. However, the decline appears to have stabilized. Over the past 24 hours, Bitcoin has gained more than 4 percent, trading near $68,200 and briefly testing the $70,000 level.
The broader digital asset market has moved in tandem, with total cryptocurrency market capitalization rising more than 4 percent. This synchronized movement suggests a broad-based recovery rather than a single-asset breakout.
Market participation metrics reinforce the strength of the rebound. Spot trading volume has jumped approximately 38 percent, while derivatives open interest has risen around 11 percent. Analysts note that these figures indicate active engagement rather than a thin, low-liquidity bounce.
Retail Interest Returns to the Forefront
Search trends often serve as a proxy for retail participation. During previous bull markets, spikes in “buy bitcoin” queries frequently coincided with new waves of individual investors entering the market.
The latest surge in search activity signals renewed curiosity among retail traders. Unlike institutional capital flows, which are often reflected in ETF data and large block transactions, search trends provide insight into public sentiment and interest.
The spike on February 25 suggests that Bitcoin’s recovery is not occurring in isolation from retail attention. Instead, it appears to be reactivating mainstream interest at a time when volatility has captured headlines.
Is the Jane Street Lawsuit Influencing Market Sentiment
Another factor circulating among traders is the lawsuit involving Jane Street, a prominent quantitative trading firm. The firm has been linked to allegations related to trading activity during the collapse of Terraform Labs.
Although the legal proceedings are ongoing and allegations remain unproven, discussion surrounding the lawsuit has intensified across social media platforms. Some market participants speculate that reduced trading activity from large quantitative firms could temporarily alter short-term liquidity dynamics.
Jane Street is known for deploying automated strategies capable of influencing short-term price movements. During periods of heightened volatility, traders often scrutinize the activity of such firms for potential impact.
While there is no confirmed causal link between the lawsuit and Bitcoin’s rebound, the timing has fueled narratives suggesting that structural pressures may be easing. For some investors, the perception of reduced aggressive short positioning by large trading desks has strengthened the bullish outlook.
Short Liquidations Accelerate the Upswing
Technical factors have also played a role in the rapid price recovery. During the recent decline, many traders positioned themselves for continued downside by opening short positions.
As Bitcoin began climbing, short sellers were forced to close their positions to limit losses. This process, known as short covering, requires traders to buy back the asset, adding further upward pressure.
Data indicates that more than $500 million in crypto short positions were liquidated during the recent rally. Such forced buying often amplifies price momentum and can trigger a cascade effect as additional positions are unwound.
Short liquidations frequently act as accelerants rather than primary catalysts. In this case, they appear to have reinforced an underlying shift in sentiment rather than solely driving it.
On-Chain Accumulation Signals Conviction
Blockchain analytics provide further insight into investor behavior. Approximately 400,000 BTC has reportedly been accumulated within the $60,000 to $70,000 price range.
Accumulation in this band suggests that many investors view the recent correction as an opportunity rather than a sign of structural weakness. Historically, periods of significant on-chain accumulation have preceded consolidation phases that eventually led to broader trend continuation.
Long-term holders often increase positions during drawdowns, providing a stabilizing influence when short-term traders exit the market.
ETF Outflows Begin to Stabilize
U.S. spot Bitcoin ETFs experienced substantial net outflows exceeding $25 billion over the past month. These outflows contributed to downward pressure during the correction phase.
However, recent data indicates that selling pressure has slowed. While inflows have not yet returned in force, stabilization suggests that institutional distribution may be tapering.
ETF positioning remains a critical variable. Institutional capital flows can significantly influence price direction due to the scale of funds involved. A return to net inflows would likely reinforce the current recovery narrative.
Geopolitical Developments Ease Market Anxiety
Macroeconomic and geopolitical factors have also shaped recent price movements. Market participants have cited trade policy uncertainty, including tariff discussions, as contributing factors behind earlier volatility.
Recent developments, including a ruling by the U.S. Supreme Court regarding tariff policies, have alleviated some global economic concerns. Easing geopolitical tensions often translate into improved risk appetite across financial markets.
Cryptocurrencies, which tend to exhibit high beta characteristics, frequently respond strongly to shifts in macro sentiment. Stabilization in global markets may have provided an environment conducive to Bitcoin’s rebound.
Competing Narratives Reflect a Market at a Crossroads
Interestingly, the rise in “buy bitcoin” searches comes just days after “Bitcoin is dead” searches also reached their highest level since the 2022 FTX collapse.
This juxtaposition illustrates a recurring market dynamic. Periods of peak pessimism often coincide with the early stages of accumulation. Skeptics highlight volatility, regulatory uncertainty, and ETF outflows, while opportunistic buyers quietly increase exposure.
Historically, such divergence in narratives has appeared near inflection points rather than at cycle peaks. While it does not guarantee an immediate rally, it frequently marks transitional phases in market structure.
Why This Recovery May Differ from Previous Rallies
Unlike euphoric rallies driven by speculative frenzy, the current rebound appears more measured. Market participants are not aggressively chasing parabolic gains. Instead, price action suggests a process of re-pricing risk following exhaustion.
If accumulation persists and macro conditions remain stable, Bitcoin may enter a consolidation range rather than immediately surging to new highs. Consolidation phases often serve as foundations for stronger expansions in subsequent cycles.
The absence of extreme leverage buildup also differentiates the current environment from prior speculative surges. Derivatives data, while increasing, does not yet indicate excessive positioning.
Outlook for the Weeks Ahead
Several factors will determine whether the “buy bitcoin” surge translates into sustained upward momentum:
Continuation of on-chain accumulation
Stabilization or reversal of ETF flows
Maintenance of key technical levels near $70,000
Broader macroeconomic stability
If Bitcoin can hold above the mid-$60,000 range and establish higher lows, confidence may continue building. Conversely, renewed macro uncertainty or aggressive profit-taking could reintroduce volatility.
For now, the data suggests that Bitcoin is neither in a euphoric bull phase nor facing imminent collapse. Instead, the market appears to be transitioning from capitulation toward cautious optimism.
Conclusion
The recent surge in “buy bitcoin” searches reflects renewed retail engagement as Bitcoin rebounds from a nearly 50 percent correction. While speculation surrounding the Jane Street lawsuit has entered public discourse, multiple factors including short liquidations, on-chain accumulation, ETF stabilization, and easing geopolitical tensions contribute to the recovery.
Competing narratives of skepticism and renewed interest underscore a market at a potential turning point. Whether this marks the beginning of a sustained uptrend or an interim consolidation phase will depend on continued participation and macro stability.
For now, Bitcoin appears to be rebuilding confidence quietly rather than exploding into unchecked euphoria.
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