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 session on Monday, thereby halting its ascent towards the $80,000 mark for the first time since January. The asset was trading at $77,705 on Monday morning, experiencing a 0.4% decline over the past 24 hours after peaking at $79,399 around 09:00 IST, only to reverse course sharply throughout the Asian session. Meanwhile, other cryptocurrencies such as Ether, Solana, and BNB also saw declines, with Ether slipping 2.4% to $2,329, Solana falling 1.9% to $86, and BNB declining 1.2% to $630. The rally that propelled bitcoin to its highest level since January 31 lost momentum by mid-morning Singapore time. This development occurred in response to a report from Axios indicating that Iran had proposed a new plan to the U.S. aimed at reopening the Strait of Hormuz, with nuclear talks postponed until after the U.S. naval blockade is lifted. As a result, Asian equities experienced a surge, with the MSCI Asia Pacific Index rising 1.7%, the emerging markets index reaching a record high, and Taiwan Semiconductor Manufacturing increasing 6% to achieve its own record. Brent crude also pared its earlier 2.5% gains to finish up 1% at $106.50 a barrel. Initially, bitcoin moved in tandem with the risk-on trend before deviating from it. The rejection at $79,399 can be attributed to a clean technical explanation. According to Rachael Lucas, an analyst at BTC Markets, the $80,000 mark is where many recent buyers are approaching breakeven, which historically leads to selling pressure as those traders exit positions they were underwater on for weeks. Bitcoin has seen a 16% increase in April, putting it on track for its first double-digit monthly gain since May 2025. Strategy has purchased $3.9 billion worth of bitcoin this month, as per Bloomberg, marking the firm's 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, which is the structural setup that could lead to a squeeze if spot prices can hold above the $79,000 level that has now been rejected three times. This week, the Federal Reserve and European Central Bank are set to make policy decisions, and the earnings of megacap tech companies, including the four largest U.S. companies by market cap, will be released. Either the Fed's decision or a single earnings beat could provide the catalyst the bitcoin market has been lacking. Without such a catalyst, the third rejection from $79,000 in eight sessions may define the range rather than precede a breakout.