Following a 12-week high of $79,399, Bitcoin experienced a sharp decline during Asian morning trading on Monday, as sellers stepped in to halt the asset's rally towards the $80,000 mark. At the time of writing, Bitcoin is trading at $77,705, representing a 0.4% decline over the past 24 hours.
Other major cryptocurrencies, including Ether, Solana, and BNB, also saw significant declines of 2.4%, 1.9%, and 1.2%, respectively. The upward momentum that drove Bitcoin to its highest level since January 31 was short-lived, reversing by mid-morning in Singapore. This shift in momentum was preceded by a report that Iran had proposed a new plan to the US to reopen the Strait of Hormuz, which had been delayed due to nuclear talks. The news led to a surge in Asian equities, with the MSCI Asia Pacific Index rising 1.7% and Taiwan Semiconductor Manufacturing reaching a record high of 6%.
However, the rally was short-lived, with Bitcoin failing to sustain its gains above $79,000. According to analyst Rachael Lucas, the rejection at $79,399 can be attributed to the fact that many recent buyers are approaching breakeven at $80,000, resulting in selling pressure as traders exit positions that were previously underwater. Despite this, Bitcoin remains up 16% in April, on track for its first double-digit monthly gain since May 2025. With the Federal Reserve and European Central Bank set to announce policy decisions this week, and major tech companies reporting earnings, the market is awaiting a potential catalyst to drive the price of Bitcoin forward.