Bitcoin Hits the $80,000 Wall, Why Can't It Rise Despite Institutional Funds Pouring In?

▲ Bitcoin Plunge ©

As it failed to break the $80,000 resistance and declined, major virtual assets, including XRP (Ripple), also showed weakness, and the market reached a critical turning point.

According to TradingNews, an investment specialized media outlet, on April 27 (local time), Bitcoin surged to around $79,500 during Asian trading hours but retreated to the $77,700 level due to selling pressure. This marks its second failure to break the $80,000 psychological barrier this week, and Bitcoin is currently engaged in a tight tug-of-war between the $73,500 support level and the $80,000 resistance level.

Despite the price correction, institutional investors' buying pressure has been explosive. According to SoSoValue data, $823.7 million flowed into US spot Bitcoin ETFs last week, attracting large-scale funds for the fourth consecutive week. However, with escalating geopolitical tensions in the Strait of Hormuz related to Iran and President Trump canceling the dispatch of a special envoy for peace talks, increasing macroeconomic uncertainty, the massive inflow of institutional funds has not led to an immediate price breakout.

While Bitcoin underwent a correction, altcoins, including XRP, showed larger declines, clearly reflecting risk-off sentiment. Top market cap assets like Ethereum (ETH) and Cardano (ADA) all showed weakness, and XRP, trading near its short-term support level of $1.41, also faced selling pressure. The media diagnosed that a conservative approach focusing on leading cryptocurrencies with relatively superior defensive capabilities, rather than volatile altcoins, is needed until macroeconomic uncertainties are resolved.

Experts' opinions on the long-term price outlook are sharply divided. Veteran trader Peter Brandt predicted that Bitcoin could reach $300,000 to $500,000 by 2029, assuming the four-year halving cycle holds. On the other hand, Canary Capital presented a pessimistic scenario, suggesting that Bitcoin could fall to $50,400 if the current cycle turns into a bear market, cautioning investors against blind optimism.

The short-term direction of the market is expected to be largely influenced by the earnings reports of major technology companies scheduled for this week. If tech giants release positive earnings related to artificial intelligence, risk appetite could spread across the market, potentially acting as a catalyst for Bitcoin to firmly break the $80,000 resistance level. Conversely, if earnings disappointments spread, there is a risk of further correction after testing the $73,500 support level, thus requiring a cautious approach.

*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.*