Bitcoin, with the symbol BTC, reached a 12-week high of $79,399 before encountering resistance and retreating. This occurred during the Asian morning hours on Monday, as sellers stepped in to dampen the rally that had positioned the asset for a potential surge to $80,000 for the first time since January.

At the time of the morning session on Monday, Bitcoin was trading at $77,705, representing a 0.4% decline over the past 24 hours. The decline followed a sharp reversal from the $79,399 peak reached around 09:00 IST. Other cryptocurrencies also experienced declines, with Ether dropping 2.4% to $2,329, Solana falling 1.9% to $86, and BNB decreasing 1.2% to $630.

The rally that propelled Bitcoin to its highest level since January 31 lost momentum by mid-morning Singapore time. The initial push higher was attributed to a report from Axios, stating that Iran had proposed a new plan to the U.S. to reopen the Strait of Hormuz, with nuclear talks delayed until after the U.S.

naval blockade is lifted. This news sparked a risk-on sentiment in Asian equities, with the MSCI Asia Pacific Index rising 1.7%, the emerging markets index reaching a record high, and Taiwan Semiconductor Manufacturing surging 6% to a record high.

Meanwhile, Brent crude pared its earlier 2.5% gains to end up 1% at $106.50 a barrel. Bitcoin initially followed the risk-on move but then diverged. The rejection at $79,399 can be explained technically, as Rachael Lucas, an analyst at BTC Markets, noted that $80,000 is a level where many recent buyers are approaching break-even, historically leading to selling pressure as traders exit positions they held at a loss for weeks. Despite the recent decline, Bitcoin is still up 16% in April, on track for its first double-digit monthly gain since May 2025.

According to Bloomberg, strategy bought $3.9 billion of Bitcoin this month, the largest monthly accumulation in a year. Funding rates on perpetual futures across major exchanges remain negative on a 7-day basis at -0.13% per Coinglass, indicating that shorts are still paying longs to hold positions. This setup could lead to a squeeze if the spot price can hold above the $79,000 level, which has now been rejected three times. The Federal Reserve and European Central Bank are set to make policy decisions this week, and megacap tech earnings, including the four largest U.S.

companies by market cap, are also scheduled. Either the Fed's decision or a strong earnings report could provide the catalyst needed for Bitcoin's price action, which has been missing so far.

Without such a catalyst, the third rejection from $79,000 in eight sessions may define the range rather than precede a breakout.