Graphics cards routinely hit 70C under load, but CPUs are not designed for it. Are you sure you weren't getting the readings for the CPU mixed up with the GPU?
If the reading is true, then I'm thinking you have an issue with your cooling. Either the heatsink is undersized, not mounted correctly, the fan has failed, or the whole assembly might be clogged with dust. Regardless, the BIOS can be set to alert and/or shut down at a thermal threshold. This should work independently of the OS you run.
As far as if your CPU is okay. I'm sure it's fine. The thermal threshold is likely spec'ed lower than the real point of failure. You might have more trouble if this was a continuous load temp, if for no other reason than because it stresses the surrounding components that must supply power under high heat (more resistance). Open the case and observe the system in action. My Phenom II X4 never seems to get hot, much less 70C.
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