The cryptocurrency market is witnessing a unique scenario where Bitcoin is stagnant, while other assets are experiencing significant movements. On Wednesday, during Asian trading hours, Bitcoin hovered just below $77,000, marking a mere 0.1% increase over 24 hours and a 0.8% decline over the week.
This stability is notable, especially as Brent crude oil prices exceeded $111 per barrel following a Wall Street Journal report that President Donald Trump has instructed his aides to prepare for an extended US naval blockade of the Strait of Hormuz. In response to the situation, Iran has described its current state as one of "collapse," according to Trump's statement on Truth Social. Meanwhile, Tehran has indicated its potential willingness to accept an interim agreement to reopen the strait if the US lifts its blockade of Iranian ports. Over the week, Ether decreased by 2.6% to $2,310, XRP fell by 3.8% to $1.39, Solana declined by 3.2% to $84.57, and BNB dropped by 2.3% to $625.
The only exception among the top-10 tokens, excluding stablecoins, was Dogecoin, which saw a 5.5% increase to $0.1016 over the week. As a result, Bitcoin's market dominance is gradually increasing, a trend often observed during periods of macroeconomic stress when capital flows into the largest asset.
Zaheer Ebtikar, founder of Split Research, noted in a statement that Bitcoin's relative calmness is indicative of a shift in market structure. "The excess supply has been absorbed, and the sellers who were spooked by macro shifts or quantum concerns have already exited, leaving the market much thinner on the sell-side than it was just a few months ago," Ebtikar explained to CoinDesk via email. "Bitcoin is less sensitive to regulatory noise or central bank policy than people think.
Its sensitivity is purely a function of broader volatility, and since we're currently in a quieter trading range, there's no immediate rush for the exits," Ebtikar added. From a technical perspective, analysts at Bitget have identified $75,000 as a critical level, where the upward range that has held since late March could break, potentially leading to further downside. A reversal towards $80,000 from current levels would maintain the rally structure intact and set up a retest of the resistance that has rejected Bitcoin's attempts since February. The Federal Reserve is scheduled to announce its rate decision later on Wednesday, followed by the European Central Bank on Thursday.
The US equity market experienced a sell-off on Tuesday due to growing skepticism about the benefits of artificial intelligence capital expenditure, although Nasdaq 100 futures rebounded by 0.4% in Asian hours. Brent crude oil prices continued to fluctuate between gains and losses but remained elevated near $111, putting renewed pressure on inflation expectations ahead of the central bank decisions.
Traders will be watching to see if Bitcoin's apparent supply exhaustion holds against the next macro shock. If Ebtikar's assessment is correct, the seller base that capitulated during March and April is gone, and Bitcoin will trade based on volatility rather than headlines until something triggers a fresh wave of selling. If the assessment is incorrect, the $75,000 level will be tested quickly, and the range break flagged by Bitget will play out as anticipated.