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 resistance from sellers during the Asian morning trading session on Monday, thereby halting its ascent towards the $80,000 mark for the first time since January. At the time of writing, Bitcoin was trading at $77,705, experiencing a 0.4% decline over the past 24 hours after having peaked at $79,399 around 09:00 IST, only to sharply reverse direction during the Asia session. Other notable cryptos also saw 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 subsequently unwound by mid-morning Singapore time. This push upwards was fueled by a report from Axios detailing Iran's proposal to the U.S. for reopening the Strait of Hormuz, with nuclear talks being postponed until after the U.S. naval blockade is lifted. The news triggered 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 set its own record. Meanwhile, Brent crude pared its earlier 2.5% gains to end up 1% at $106.50 a barrel. Initially, Bitcoin moved in tandem with the risk-on sentiment before diverging. The rejection at $79,399 can be explained technically. According to Rachael Lucas, an analyst at BTC Markets, the $80,000 mark is where many recent buyers are nearing their breakeven point, which historically leads to selling pressure as traders exit positions they have been holding at a loss for weeks. Bitcoin has seen a 16% increase in April, positioning it for its first double-digit monthly gain since May 2025. Strategy has bought $3.9 billion worth of Bitcoin this month, the largest monthly accumulation in a year, as per Bloomberg. Funding rates for perpetual futures across major exchanges remain negative on a 7-day basis at -0.13%, according to Coinglass, indicating that shorts are still paying longs to maintain their positions. This setup can lead to a squeeze if the spot price can hold above the $79,000 level, which has now been rejected for the third time. This week, the Federal Reserve and the European Central Bank are set to make policy decisions, and the earnings reports of the four largest U.S. companies by market cap are also anticipated. Either the Fed's decision or a significant earnings beat could provide the catalyst that the Bitcoin market has been lacking. Without such a catalyst, the third rejection from the $79,000 level in eight sessions may define the current range rather than precede a breakout.