Bitcoin, with the symbol BTC, reached a 12-week peak of $79,399 before encountering resistance from sellers during the Asian morning session on Monday, halting its ascent towards the $80,000 mark for the first time since January. The cryptocurrency was trading at $77,705 on Monday morning, experiencing a 0.4% decline over the past 24 hours after touching $79,399 around 09:00 IST and subsequently reversing its course throughout the Asian session.
Other digital assets, 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 in Singapore. This development was preceded by a report from Axios indicating that Iran had proposed a new plan to the US to reopen the Strait of Hormuz, with nuclear discussions delayed until after the US naval blockade is lifted. Asian equities responded positively to the news, with the MSCI Asia Pacific Index rising 1.7%, the emerging markets index reaching a record high, and Taiwan Semiconductor Manufacturing surging 6% to a new record.
Brent crude oil prices also increased by 1% to $106.50 per barrel after initially gaining 2.5%. Bitcoin initially followed the risk-on trend but then deviated from it. The rejection at $79,399 can be attributed to technical factors.
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 traders exit positions that were previously unprofitable. 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, the largest monthly accumulation in a year, according to Bloomberg. 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 the spot price can hold above the $79,000 level, which has been rejected three times. The Federal Reserve and European Central Bank are scheduled to make policy decisions this week, and the earnings reports of the four largest US companies by market capitalization are also expected. Either the Fed's decision or a single earnings beat could provide the catalyst that the bitcoin market has been lacking. Without such a catalyst, the third rejection from the $79,000 level in eight sessions may define the range rather than precede a breakout.