4-4-2025 – Bitcoin maintained its position above $82,000 amidst turbulent market conditions that saw traditional equities markets experience significant setbacks during the 4 April Wall Street opening.
The cryptocurrency landscape painted an intriguing picture as Bitcoin demonstrated notable stability, despite experiencing a $2,500 decline from its daily peak of approximately $84,700 at the commencement of US trading hours. Market analysts, including the respected trading platform The Kobeissi Letter, drew stark parallels, likening the current trade tensions to a potential “World War 3” in economic terms.
Traditional markets bore the brunt of the downturn, with both the S&P 500 and Nasdaq Composite experiencing substantial declines exceeding 3.5%. The Nasdaq 100 marked a particularly sombre milestone, recording its most significant single-day points decline in its history. The collective market capitalisation loss over two days surpassed $3.5 trillion, reminiscent of the pandemic-era market turbulence of 2020.
Despite exceeding forecasts, the March US employment figures failed to allay market concerns. However, speculation regarding potential Federal Reserve interest rate reductions intensified, with CME Group’s FedWatch Tool indicating a 40% probability of a rate cut during the May meeting.
Technical analysts, including Rekt Capital, identified encouraging signals in Bitcoin’s longer-term indicators, particularly noting a potential “Exaggerated Bullish Divergence” pattern in the daily relative strength index. Market observer Cas Abbe highlighted Bitcoin’s noteworthy resilience compared to traditional assets, suggesting the $76,500 level might represent a market bottom, with $86,500 emerging as a crucial threshold for continued upward momentum.
The cryptocurrency’s stability amidst broader market volatility has sparked discussions about potential price floors, with some analysts eyeing the previous all-time high of $69,000 from 2021 as a significant support level.
