Similarly to other villages in the high parts of the Rhodopi mountain, the origin of Kovatsevitsa is connected to the waves of forced conversion of Bulgarians to Islam after the subjection of he country to Turkish rule. In order to escape the unenviable choice of death or conversion during 1623-1625 and later in 1656, Bulgarian farmers from the skirts of the mountain fled up the hills and settled in hard-to-reach parts of the mountain. About a century later, refugees from Western Macedonia, who later became famous for their construction skills, also settled here to form the so-called Arnaut Neighbourhood of the village. The village took an active part in underground for the liberation of the Pirin-part of Macedonia from Turkish rule and was used as a transit stop and warehouse for weaponry and a hiding place for Macedonian rebels. Not least due to its activity, the Pirin part of Macedonia, including Kovachevitsa, was finally liberated from the Ottomans in 1912.
The village is named after the wife of a famous local blacksmith, Marco, who died in his prime and left a large family to the care of his wife, known by the local people as Kovachevitsa. The woman became popular among her fellows as a wise and intelligent person, who was often sought for advice.
The village saw its apogee in the 18-19th century but started to decay in the 50s of the 20th century with massive migration of its dwellers to the nearby towns of Velingrad. Batak, and Pazardzhik. Even if a large number of its beautiful houses were abandoned at that time, a boost to its resurrection was given by the Bulgarian film industry several decades later. After the monopoly Bulgarian film studio, Boyana, discovered the beauty and authentic spirit of the village, it has shot more than 20 films there since, which ranks the village as the only such settlement in Bulgaria. More recently, the village has been also discovered by tourist entrepreneurs who have bought out and renovated a number of old houses, putting the start of rural tourism in Kovachevitsa.