Bitcoin Retreats from 12-Week Peak as Sellers Intervene at $79,400

Bitcoin, with the symbol BTC, reached a 12-week high of $79,399 before encountering a significant selling wall, causing the price to drop to $77,015.63. This reversal occurred during the Asian morning hours on Monday, halting the asset's potential run towards the $80,000 mark for the first time since January. On Monday morning, Bitcoin was trading at $77,705, representing a 0.4% decline over the past 24 hours. The price had surged to $79,399 around 09:00 IST before experiencing a sharp decline throughout the Asian session. Meanwhile, other cryptocurrencies such as Ether, Solana, and BNB also saw declines of 2.4%, 1.9%, and 1.2%, respectively. The rally that pushed Bitcoin to its highest level since January 31 lost momentum by mid-morning Singapore time. The initial surge was driven by a report from Axios stating that Iran had proposed a new plan to the US to reopen the Strait of Hormuz, with nuclear talks delayed until after the US naval blockade is lifted. This news led to a rise in Asian equities, with the MSCI Asia Pacific Index increasing by 1.7% and the emerging markets index reaching a record high. Taiwan Semiconductor Manufacturing also saw a significant surge of 6% to its own record high. However, Bitcoin's price movement briefly aligned with the risk-on move before diverging. According to Rachael Lucas, an analyst at BTC Markets, the rejection at $79,399 can be explained by the fact that many recent buyers are approaching breakeven at the $80,000 level, which has historically led to selling pressure. Despite this, Bitcoin has seen a 16% increase in April and is on track for its first double-digit monthly gain since May 2025. Strategy has purchased $3.9 billion worth of Bitcoin this month, marking the firm's largest monthly accumulation in a year. Funding rates on perpetual futures across major exchanges remain negative, indicating that shorts are still paying longs to hold positions. The Federal Reserve and European Central Bank are set to make policy decisions this week, and the earnings reports of the four largest US companies by market cap are also expected. Either the Fed's decision or a strong earnings report could provide the necessary catalyst for Bitcoin's price movement, but without it, the repeated rejection from the $79,000 level may define the range rather than precede a breakout.