Bitcoin Price Analysis: BTC Plunges Below $80,000 as Crypto Joins Global Market Rout

Bitcoin (BTC) and the crypto market plummeted Monday morning as markets witnessed a bloodbath at the beginning of the week. Donald Trump’s tariffs and trade war tensions have pummeled markets and crypto prices crashed after the US stock futures markets opened significantly lower on April 6 as Trump doubled down on his tariff strategy. As a result, BTC fell nearly 10%, dropping to a low of $74,389 before moving to its current level. 

The flagship cryptocurrency is down over 7% over the past 24 hours and is trading around $76,700 after recovering from its day low. 

Bitcoin (BTC) Plunges As Markets Feel Trade War Pain

Bitcoin (BTC) and the broader crypto market plunged into the red on Monday as a clear risk-off sentiment emerged among traders. The flagship cryptocurrency fell nearly 10% over Sunday and the current session, falling to a low of $74,389 before recovering to current levels. BTC’s decline comes as President Donald Trump doubled down on tariffs, with markets facing losses in trillions. US equity index futures also declined while the yen surged as signs of turmoil deepened across markets. Charlie Sherry, Head of Finance and crypto analyst at Bitcoin Markets, stated, 

“For a moment, it seemed as though crypto might hold steady, but with the 24/7 nature of crypto markets, investors woke up on Sunday in full sell mode.”

Data from Coinglass showed around $758 million worth of bullish crypto wagers liquidated over the past 24 hours, the most in almost six weeks. 

Market Rout Rattles Investors 

Rattled investors dumped their cryptocurrency holdings over the weekend as they anticipated mayhem on Monday after Trump’s retaliatory tariffs raised fears of a recession. As a result, investors dumped all risk assets. Duties on imports, coupled with custom tariffs on major trading partners have raised concerns about a global trade war that could drive the US economy into a recession. Concerns around tariffs have also sent markets around the world plummeting. Global stocks wiped out $7.46 trillion over two sessions after the tariff announcement. The figure includes $5.87 trillion lost in the US stock market and $1.59 trillion in other major markets. 

BTC is down over 15% in 2025 and with the absence of a crypto-specific catalyst, is expected to continue moving in its current trajectory as recession concerns overshadow any benefits expected this year. 

Bitcoin ETFs Turn Negative Yet Again 

The ETF market also succumbed to investor caution after Bitcoin ETFs snapped their two-week inflow streak with a $172.69 million net outflow. The brunt of the outflows came on April 1, as fears around tariffs increased, leading to $157 million in outflows. While Wednesday registered inflows of $220 million, it was insufficient to stem the decline. Grayscale led the weekly ETF outflows with $95 million, followed by WisdomTree’s BTCW, which registered outflows worth $44 million. BlackRock’s IBIT saw outflows of $35 million, and Bitwise’s BITB $24 million. ARKB ($22 million), Valkyrie’s BRRR ($7.7 million), and VanEck’s HODL ($4.8 million) rounded off the outflows list. 

A few ETFs registered inflows, with Grayscale’s GBTC registering $34 million. Franklin’s EZBC registered $17.4 million in inflows, while Fidelity’s FBTC saw inflows worth $10.16 million.

Bitcoin (BTC) Price Analysis 

Bitcoin (BTC) is witnessing significant volatility during the ongoing session. The flagship cryptocurrency had plunged to a low of $74,389 on TradingView before surging to a high of $86,213 and then falling below $80,000. Analysts, including CryptoQuant CEO Ki Young Ju, believe BTC has entered a bear market that will likely persist for six months. According to Ju, Bitcoin’s current bear market conditions are reflected in on-chain metrics, including market cap and realized cap. The realized cap determines the amount of money entering Bitcoin based on wallet movements. On the other hand, the market cap is based on the most recent price on exchanges. A bear market is reflected in the stagnation or decline of market capitalization despite a rise in realized capital. This suggests that while capital is entering the market, prices are not reacting. Ju stated in a post on X that the Bitcoin bull cycle is over, adding, 

“Bitcoin bull cycle is over — here’s why. There’s a concept in on-chain data called Realized Cap. It works like this: when BTC enters a blockchain wallet, it's considered a ‘buy’ and when it leaves, it's treated as a ‘sell.’ Using this idea, we can estimate an average cost basis for each wallet. Multiply that by the amount of BTC held, and you get the total Realized Cap. It’s often seen as the total capital that has entered the Bitcoin market through actual on-chain activity.”

BTC has seen a significant decline this week after being relatively stable above $80,000 for most of last week. The flagship cryptocurrency fell below the 200-day SMA last Friday and continued to decline on Saturday, dropping below the 20-day SMA and settling at $82,704. Price action remained bearish on Sunday, falling marginally to $82,404. BTC encountered volatility on Monday as buyers and sellers struggled to establish control. Buyers ultimately gained the upper hand, with the price registering a marginal increase. Bullish sentiment intensified on Tuesday as BTC rose over 3% to move past the 20-day SMA and $85,000 and settle at $85,152. BTC surged to an intraday high of $88,624 on Wednesday as buyers pushed towards $90,000. However, it lost momentum after reaching this level and dropped over 3%, slipping below $85,000 and the 20-day SMA and settling at $82,525.

Source: TradingView

BTC rebounded on Thursday despite overwhelming selling pressure, rising almost 1% and settling at $83,199. Buyers retained control on Friday, with the price increasing 0.76% to $83,828. BTC was back in the red on Saturday, registering a marginal decline and settling at $83,423. Bearish sentiment intensified on Sunday as global markets tanked. As a result, BTC fell over 6%, slipping below $80,000 and settling at $78,301. BTC is facing significant volatility during the current session. The flagship cryptocurrency plunged to a low of $74,389 before surging past $80,000, only to decline to $79,300. BTC is up over 1% during the current session as it looks to reclaim $80,000.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.