The cryptocurrency market is witnessing a mixed trend, with Bitcoin showing little movement despite significant fluctuations in other assets. On Wednesday, during Asian trading hours, Bitcoin hovered just below $77,000, marking a 0.1% increase over the past 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 aides to prepare for an extended US naval blockade of the Strait of Hormuz. In response to the situation, Iran has described its economy as being in a 'State of Collapse,' according to Trump's statement on Truth Social.
Meanwhile, Tehran has hinted at the possibility of accepting an interim agreement to reopen the strait if the US lifts its blockade of Iranian ports. Other major cryptocurrencies, such as Ether, XRP, Solana, and BNB, have experienced declines, with Ether dropping 2.6% to $2,310, XRP falling 3.8% to $1.39, Solana losing 3.2% to $84.57, and BNB shedding 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 investors shift their capital to the largest asset. According to Zaheer Ebtikar, founder of Split Research, Bitcoin's relative calmness may indicate a shift in market structure.
Ebtikar noted that 'the supply overhang has finally dried up, and the sellers who were spooked by macro shifts or quantum fears have already exited, leaving the market much thinner on the sell-side than it was just a few months ago.' He further added that 'Bitcoin is far less sensitive to regulatory noise or central bank policy than people think. Its sensitivity is purely a function of wider volatility, and since we're currently in a quieter trading range, there's no immediate rush for the exits.' From a technical perspective, analysts at Bitget have identified $75,000 as a critical level, where a break in the upward range that has held since late March could lead to further downside. On the other hand, 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's decision on Thursday. The US equity market experienced a sell-off on Tuesday due to growing skepticism about the payoff from artificial intelligence capital expenditure, although Nasdaq 100 futures recovered 0.4% in Asian hours. Brent crude oil prices continue to fluctuate, staying near $111, and may put renewed pressure on inflation expectations ahead of the central bank decisions.
Traders will be watching to see if Bitcoin's apparent supply exhaustion can withstand the next macro shock. If Ebtikar's assessment is correct, the seller base that capitulated through March and April is gone, and Bitcoin's price will be driven by volatility rather than headlines until something triggers a fresh wave of selling. Conversely, if the assessment is incorrect, the $75,000 level may be tested quickly, and the range break flagged by Bitget could play out as predicted.