Bitcoin (BTC) climbed to a 12-week high of $79,399 overnight before encountering strong selling pressure during Monday’s Asian trading session, halting momentum that had positioned the asset for a potential breakout above $80,000 — a level not seen since January.
The cryptocurrency was trading at $77,705 on Monday morning, down 0.4% over the past 24 hours, after briefly touching $79,399 around 09:00 IST and reversing sharply through the Asia session. Broader market weakness followed, with Ether declining 2.4% to $2,329, Solana falling 1.9% to $86, and BNB slipping 1.2% to $630. Gains that pushed bitcoin to its highest level since January 31 were largely erased by mid-morning Singapore time.
The initial rally was sparked by a geopolitical development, with Axios reporting that Iran had proposed reopening the Strait of Hormuz in discussions with the U.S., while nuclear talks remain delayed pending the lifting of a U.S. naval blockade.
Asian equity markets responded positively. The MSCI Asia Pacific Index rose 1.7%, while the emerging markets index reached a record high. Taiwan Semiconductor Manufacturing surged 6% to its own all-time high. Meanwhile, Brent crude pared earlier gains, trading up 1% at $106.50 per barrel after briefly rising 2.5%.
Bitcoin initially tracked the broader risk-on sentiment before diverging. The rejection near $79,400 appears technically driven. According to Rachael Lucas, analyst at BTC Markets, the $80,000 level represents a breakeven zone for many recent buyers. Historically, such levels tend to trigger selling as traders exit positions that were previously underwater.
Despite the pullback, bitcoin remains up 16% in April, putting it on track for its first double-digit monthly gain since May 2025. Institutional demand has also been notable, with Strategy reportedly purchasing $3.9 billion worth of bitcoin this month — its largest accumulation in a year, according to Bloomberg.
Derivatives data suggests underlying tension in the market. Funding rates for perpetual futures across major exchanges remain negative at -0.13% on a 7-day basis, per Coinglass, indicating that short positions are still dominant. This creates conditions for a potential short squeeze if spot prices can reclaim and hold above the $79,000 level, which has now acted as resistance three times.
Looking ahead, macro catalysts may determine the next move. Policy decisions from the Federal Reserve and the European Central Bank are due this week, alongside earnings reports from the largest U.S. technology companies.
Absent a clear trigger, bitcoin’s repeated rejection near $79,000 within eight sessions may reinforce a consolidation range rather than signal an imminent breakout.
