Bitcoin Runs Ignoring War Fears, Will It Break Through the Cursed $79,000 Resistance?

▲ US, Iran, Bitcoin (BTC)/AI generated image ©

Bitcoin (BTC), having broken free from a long and tiresome bearish market, is preparing for a further rally, recording its best monthly performance in a year, buoyed by massive stablecoin liquidity and a strong New York stock market.

According to crypto media outlet CoinDesk on April 25 (local time), Bitcoin has risen by over 13% this month alone, firmly maintaining the $77,000 level. This marks a dramatic rebound for the virtual asset market, which ended its longest consecutive monthly decline since 2018, from October last year to February this year.

One of the powerful driving forces behind this rally is the explosive increase in the supply of Tether (USDT), which serves as a key funding source for the virtual asset market. Tether's market capitalization, breaking months of stagnation, surged by $5 billion in the past two weeks, approaching $150 billion. Experts interpret this growth in stablecoins as a very healthy sign of price appreciation, indicating a large influx of new capital into the blockchain economy.

The overall macroeconomic sentiment is also supporting Bitcoin's rise. Jasper de Maeyer, an OTC trader at Wintermute, diagnosed that the market is feeling fatigued to the point where it no longer reacts to geopolitical tensions in the Middle East or complex war news. Instead, strong corporate earnings reports and the robust recovery of the stock market, consistently hitting new highs, are offsetting concerns about rising energy costs and boosting risk appetite, according to analysis.

Currently, Bitcoin's biggest challenge is whether it can break through the $79,000 resistance level, where a large volume of institutional investor sell orders are positioned. Adam Hams, Head of Asset Management at Tesseract Group, emphasized that a solid trend reversal can only be achieved if it is supported by sustained institutional demand, not just a forced increase due to temporary short covering.

Market attention is now focused on the upcoming Federal Open Market Committee (FOMC) regular meeting in April. If the influx of funds into spot Exchange Traded Funds (ETFs) continues from this meeting, $79,000 could transform from strong resistance into a new support level. However, if buying interest cools, Bitcoin is expected to fall back into the $75,000 to $77,000 range.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*