Bitcoin, with the symbol BTC, reached a 12-week high of $79,399 before encountering a selling wall, causing the price to drop to $78,192.97. This reversal occurred during the Asian morning session on Monday, thwarting the asset's potential run to $80,000 for the first time since January. On Monday morning, Bitcoin traded at $77,705, experiencing a 0.4% decline over 24 hours after peaking at $79,399 around 09:00 IST.
Other cryptocurrencies, such as Ether, Solana, and BNB, also saw declines of 2.4%, 1.9%, and 1.2%, respectively. The rally that propelled Bitcoin to its highest level since January 31 lost momentum by mid-morning Singapore time. The initial surge was sparked by a report from Axios that Iran had proposed a new plan to the U.S. to reopen the Strait of Hormuz, with nuclear talks delayed until after the U.S.
naval blockade is lifted. This news led to a risk-on move in Asian equities, with the MSCI Asia Pacific Index rising 1.7% and Taiwan Semiconductor Manufacturing reaching a record high of 6%. However, Bitcoin's price movement diverged from the broader market trend. According to Rachael Lucas, an analyst at BTC Markets, the rejection at $79,399 can be attributed to the fact that many recent buyers are approaching breakeven at $80,000, historically leading to selling pressure.
Despite this, Bitcoin has seen a 16% increase in April, on track for its first double-digit monthly gain since May 2025. Additionally, strategy bought $3.9 billion of Bitcoin this month, the largest monthly accumulation in a year. With funding rates on perpetual futures remaining negative, the stage is set for a potential squeeze if the spot price can hold above $79,000. The Federal Reserve and European Central Bank are scheduled to make policy decisions this week, and major tech companies will release their earnings reports, potentially providing a catalyst for Bitcoin's price movement.