Bitcoin Retracts 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 seller wall and reversing its course during Monday's Asian morning session, thus abandoning its pursuit of the $80,000 mark for the first time since January. On Monday morning, Bitcoin was valued at $77,705, showing a 0.4% decline over 24 hours, after it had surged to $79,399 around 09:00 IST, only to sharply decline throughout the Asian session. Meanwhile, Ether experienced a 2.4% decrease to $2,329, Solana dropped 1.9% to $86, and BNB fell 1.2% to $630. The rally that propelled Bitcoin to its highest level since January 31 lost momentum by mid-morning Singapore time. This upward push was triggered by a report from Axios stating that Iran had proposed a new plan to the U.S. to reopen the Strait of Hormuz, with nuclear talks postponed until after the U.S. naval blockade is lifted. Asian equities responded positively, 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. Brent crude initially gained 2.5% but later pared its gains to 1% at $106.50 per barrel. Initially, Bitcoin moved in tandem with the risk-on trend but then diverged. 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 approaching break-even, a point that historically generates selling pressure as traders exit positions they have been 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 for 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. This structural setup can lead to a squeeze if spot prices can hold above the $79,000 level, which has now been rejected three times. The Federal Reserve and the European Central Bank are set to make policy decisions this week, and the earnings reports of the four largest U.S. companies by market capitalization are also scheduled. 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.