Bitcoin (BTC) Defies Market Sell-Off, Holds Strong Above $80K

13 hours ago 14

April 5, 2025 by Bena Ilyas

Bitcoin surged 1.13% to $83,763, defying a 10% S&P 500 crash.
Trading volume surged to $43.49B, showing strong interest despite macroeconomic pressures.
Despite equities crashing 10%, Bitcoin resisted pressure, hinting at growing market detachment.

Bitcoin defied a broader market downturn, surging 1.13% to reach $83,891. Despite early session lows of $81,980, buyers successfully defended the crucial $80,000 support region. The cryptocurrency’s surprising resilience stands out amid steep losses in equities, particularly as traditional risk assets typically decline during such macroeconomic turbulence.

Bitcoin’s typical pattern of delayed weakness during market downturns has taken an unexpected turn, as the crypto asset held strong despite the S&P 500 plunging 5% in a single day and 10% over two. Historically, Bitcoin trails such moves eventually to follow the trend generally. BTC’s current stability has shown a breakout pattern, which could signal growing independence from mainstream financial markets.

Bitcoin’s Resilience Attributed to Strategic Accumulation

Some analysts are attributing Bitcoin’s strength to strategic buying by companies such as MicroStrategy and increased sentiment fueled by the resurgence of meme-stocks such as GameStop. Although precise triggers are uncertain, theories are that a $1–$2 billion time-weighted average price (TWAP) buy may not fully counter SPX pressure but can support sentiment.

The latest equity plunge followed Trump-era protectionist tariffs that revived global recession concerns and amplified trade tensions. The S&P 500 and Nasdaq had their worst one-day declines since 2020. Investors went to customary safe-haven assets such as US Treasuries and gold, with Bitcoin, not yet mainstream in this category, remained cautiously traded.

Amid the turmoil, 10-year US Treasury yields decreased 14 basis points to 4.06%, and 2-year yields dropped 18 basis points to 3.72%. At the same time, the US dollar weakened 2.88% over three days to six-month lows versus the euro, the yen, and the Swiss franc as world investors grew uneasy with US fiscal policy.

Bitcoin Charts Signal Possible Recovery Ahead

BTC price reached $83,763, and trading volume spiked to $43.49B—well above daily averages—signaling growing investor interest despite moderate price action. Although BTC remains under its 50-day and 200-day averages ($87,992 and $86,286), it continues to show less volatility than equity markets, which are more reactive to global trade policy shifts.

Institutional support keeps on sustaining Bitcoin’s price foundation. Tether bought 8,888 BTC recently, bringing their portfolio to over 100,000 BTC valued at $8.46 billion. This correlates with increasing interest in companies such as Metaplanet, taking BTC as a hedge against currency devaluation as well as market uncertainty associated with economic policy changes.

BTC declined to $81,000 but remained over $80,000 before continuing to rise to approximately $83K on April 5. Despite nearing a bearish “death cross” signal, Bitcoin’s rebound shows sustained retail demand. Still, BTC is 23% down from its January 20 all-time high of over $109,000, reached during Trump’s inauguration.

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