Cash App Waives Bitcoin Fees Amid Extreme Fear, Echoing 2021 Liquidity Grab

VADODARA, February 11, 2026 — Block's Cash App eliminated all fees for large-scale and recurring Bitcoin purchases, according to a report by Solid Intel. This daily crypto analysis examines the move's timing amid a market gripped by extreme fear, with Bitcoin trading at $66,460, down 3.65% in 24 hours. Market structure suggests a deliberate liquidity grab mirroring the 2021 correction.

Investigation: Cash App's Strategic Fee Elimination

Solid Intel reported Cash App's fee waiver for bulk and automated Bitcoin buys. The announcement lacks specific volume thresholds. Block's decision targets high-net-worth and institutional clients. It directly reduces acquisition costs during a downturn. This aligns with historical accumulation patterns during fear-driven sell-offs.

Cash App operates under Block's larger Bitcoin strategy. The company holds Bitcoin on its balance sheet. Fee removal incentivizes dollar-cost averaging. Market analysts interpret this as a bullish signal for long-term holders. Consequently, it may pressure competitors like Coinbase and Robinhood to adjust pricing.

Market Context & Historical Precedent

Historically, fee waivers precede major liquidity events. Similar to the 2021 correction, platforms often reduce costs to capture panic-selling volume. In contrast, the current extreme fear score of 11/100 indicates deeper sentiment erosion. Underlying this trend, on-chain data shows increased Bitcoin movement to accumulation addresses.

Market context reveals parallel developments. For instance, recent FTX and Alameda unstaking $15.9M in SOL reflects distressed asset liquidation. , the White House crypto meeting's failure to yield agreement exacerbates regulatory uncertainty. These events compound the fear driving Cash App's strategic move.

Technical Architecture & Price Action

Bitcoin's price action shows a clear Fair Value Gap (FVG) between $68,500 and $70,200. The current price of $66,460 sits below this zone. RSI readings hover near oversold levels at 28. The 50-day moving average acts as dynamic resistance at $71,000. Volume profile indicates thinning liquidity near support.

Technical architecture points to critical Fibonacci levels. The 0.618 retracement from the 2025 high provides support at $64,200. This level aligns with a major Order Block from Q4 2025. A break below invalidates the current bullish structure. Market structure suggests this zone will test institutional buying pressure.

By The Numbers

Why It Matters

Cash App's fee waiver matters for institutional liquidity cycles. It lowers barriers for large-scale accumulation during fear. This can accelerate Bitcoin redistribution from weak to strong hands. Retail market structure often misses such strategic moves. Historical cycles suggest similar actions preceded the 2021 rally from $30,000 to $69,000.

Real-world evidence includes increased Bitcoin holdings on centralized exchanges. Glassnode liquidity maps show outflow spikes. The move impacts Bitcoin's monetary policy by encouraging long-term holding. According to SEC.gov filings, institutional Bitcoin ETF inflows have slowed, making direct purchases more attractive.

Expert Commentary

Market structure suggests Cash App is capitalizing on extreme fear to build a strategic position. This mirrors accumulation phases seen in Q3 2021, where fee reductions preceded a 120% rally. The key is whether retail follows or remains sidelined.

CoinMarketBuzz Intelligence Desk synthesized this from institutional sentiment reports.

Market Outlook & Price Scenarios

Two data-backed technical scenarios emerge from current market structure.

• Bullish Invalidation Level: $71,500. A break above this resistance, coinciding with the 50-day MA, confirms trend reversal and targets the FVG at $70,200.
• Bearish Invalidation Level: $64,200. A close below this Fibonacci support invalidates the bullish structure, potentially triggering a drop to $60,000.

The 12-month institutional outlook hinges on sustained accumulation. If Cash App's move attracts significant volume, it could stabilize prices by Q3 2026. This aligns with the 5-year horizon where Bitcoin's post-halving cycles typically drive appreciation. Market analysts watch for similar fee adjustments from other platforms.