Introduction
April 2025 began with a jolt as Bitcoin (BTC) plummeted below $75,000, rocking global financial markets. Red ink spread across stock indices, leading investors to recall the 1987 Black Monday crash and the COVID-19 market chaos.
Bitcoin Slips Under $75,000: Bull Run Faces a Test
Bitcoin sank below $75,000, a low not seen since November 2024, spotlighting the 2021 high of $69,000 as a vital support line. The sustained uptrend now hangs in the balance, poised for either a revival or a collapse.
Analyst Kevin Svenson dubbed this “BTC’s do-or-die moment to cling to its macro bullish path.” Losing this ground could trap Bitcoin in a prolonged holding pattern, snuffing out 2025’s hopes for new peaks.
Death Cross Looms, Pointing to a Darker Trend
Beyond the price plunge, a Death Cross—where the 50-day moving average dips below the 200-day moving average—now haunts BTC’s daily chart, suggesting a deeper slide ahead.
Trader CrypNuevo highlighted BTC’s drop below the 50-week EMA near $77,000, sparking short-sell signals. A rapid climb back above this mark could prove it a headfake, possibly lifting BTC to $87,000. Currently, Bitcoin steadies at $79,910.
U.S. Tariff News Shakes Up Global Finance
While crypto fans eyed BTC’s fall, traditional markets shuddered at new U.S. trade tariffs slated for April 9. Commerce Secretary Howard Lutnick confirmed no postponements would ease the impact.
These measures could snarl supply chains and jack up commodity prices, fanning inflation concerns. A “second inflation scare” now unnerves equities and riskier assets like Bitcoin and altcoins.
Traders Anticipate a Fed Rate Cut Ahead of Schedule
Despite inflation threats, markets lean toward an early Federal Reserve rate cut to stave off a sharper downturn. U.S. inflation stats—March CPI and PPI—arrive April 10–11, potentially steering the Fed’s hand.
Polymarket odds favor a May cut over June projections. Anthony Pompliano warned that if the Fed hesitates while markets falter and inflation cools, the U.S. could tumble into a long, brutal recession.
Retail Investors Bail as Fear Grips the Market
As institutions hold back, retail traders—who powered earlier crypto booms—face dwindling funds and nerve, sparking mass sell-offs.
The Crypto Fear & Greed Index cratered to multi-month lows, reflecting soaring anxiety. On April 7, 2025, it logged 23—“Extreme Fear”—a steep fall from 34 the prior week, highlighting the unease dominating sentiment.
Conclusion: Black Monday 2.0 on the Horizon?
It’s premature to call this a Black Monday repeat, but technical cracks, jittery investors, and economic headwinds brew a fierce storm. Bitcoin and global markets teeter near a hefty correction. Who will stand firm, and who will fall? That’s the looming mystery.