FameEX Hot Topics | Will Bitcoin Crash Again Soon?

Bitcoin rebounded strongly from a five-month low of $74,300 to reach a high of $83,565 on April 9, following U.S. President Donald Trump’s announcement of a 90-day suspension on planned tariff hikes. This policy move initially calmed market nerves, triggering a sharp rally across risk assets. Bitcoin jumped more than 7% to $82,000, reflecting investor relief. However, the bullish momentum faded as BTC was rejected at the $83,500 resistance level, a key psychological and technical barrier. The inability to sustain that rally has raised concerns about whether Bitcoin can hold above the critical $80,000 support zone in the near term.

Trump’s tariff suspension came with a notable exception: China. In a move that escalated the ongoing trade war, Trump announced a 125% tariff on Chinese imports, citing Beijing’s lack of respect for global trade norms. The market interpreted this as a mixed signal—offering global investors a temporary reprieve while simultaneously heightening geopolitical tensions. China responded swiftly, slapping 84% tariffs on U.S. imports, effective April 10. This tit-for-tat escalation risks undermining investor sentiment and could reignite fears that had recently begun to ease.

Bitcoin’s price trajectory remains closely linked to broader macroeconomic trends, particularly inflation expectations and recession concerns. As the asset increasingly correlates with tech stocks and risk-sensitive assets, traders are growing cautious of aggressive monetary tightening or disappointing economic data. A poor CPI reading or hawkish pivot from the Federal Reserve could easily tip markets into another sell-off. QCP Capital noted that a weaker inflation print could help “offset the inflationary overhang” brought on by blanket tariffs, which have added uncertainty to both equities and crypto markets.

From a technical analysis perspective, Bitcoin is navigating a delicate range. Data from Glassnode shows BTC has lost support at both the 111-day and 200-day moving averages, which currently stand at $93,000 and $87,000, respectively. The 365-day MA at $76,000 now represents the last meaningful level of support. Holding above this threshold is crucial to prevent a deeper correction. Reclaiming the short-term holder cost basis near $93,000 could signal a return of upward momentum.

Should Bitcoin fail to hold $80,000, analysts warn of a potential drop toward the $65,000–$71,000 range, an area identified by multiple on-chain models as a critical zone for long-term support.

Disclaimer: The information provided in this section is for reference only and does not represent any investment advice or the official views of FameEX.