Bitcoin struggles to maintain momentum near $80,000 as other cryptocurrencies decline

After briefly approaching the $80,000 threshold on Tuesday, Bitcoin has experienced a slight pullback, trading at $77,794 at the time of writing, representing a 0.4% increase over the past 24 hours. The cryptocurrency had previously reached a peak of $79,388 before gradually declining overnight. The 24-hour trading range was approximately $1,900, with a low of $77,464 recorded on Thursday morning. Meanwhile, other major cryptocurrencies have experienced declines, including ether, which fell 0.7% to $2,344, XRP, which dropped 1.7% to $1.42, solana, which declined 1.5% to $85.83, and BNB, which decreased 0.6% to $635. The price of Brent crude oil has remained above $95 per barrel due to the ongoing US naval blockade of Iranian ports and the Strait of Hormuz being closed to most international traffic. The geopolitical tensions have also affected the cryptocurrency market, with the top 10 cryptocurrencies experiencing a divergence in performance, as Bitcoin has risen 4% over the week, while other major cryptocurrencies have remained within a 2% range. According to some analysts, the recent rally in Bitcoin may be due to narrow market participation, rather than broad-based demand. However, Bitpanda CEO Lukas Enzersdorfer-Konrad has argued that the push towards $80,000 is a sign of the digital asset industry's maturity and resilience, driven by institutional participation and clearer regulatory frameworks. Nevertheless, the current market trends, including negative funding rates for 47 consecutive days, suggest that the rally may not be sustainable, and a decline below $76,000 could indicate that the recent high of $79,388 marked the top of the current leg, requiring either significant progress in the Iran situation or a shift in funding rates to attract real capital back into the market.