Introduction
April 2025’s first week stunned global financial markets as Bitcoin (BTC) plunged below $75,000. Stock indices across the globe turned crimson, stirring echoes of the 1987 Black Monday crash and the COVID-19 market freefall for jittery investors.
Bitcoin Drops Under $75,000: Bullish Hopes Hang in Balance
Bitcoin sank below $75,000, its lowest since November 2024, spotlighting the 2021 high of $69,000 as a crucial support zone. The prolonged upward trend now faces a make-or-break moment—rebound or bust.
Analyst Kevin Svenson called this “BTC’s final test to safeguard its macro bullish arc.” A collapse here could lock Bitcoin into a long accumulation rut, shattering 2025’s new-high ambitions.
Death Cross Casts a Bearish Shadow
The price fall isn’t the only alarm. A Death Cross—where the 50-day moving average dips below the 200-day moving average—now looms on BTC’s daily chart, pointing to a possible extended decline.
Trader CrypNuevo noted BTC’s breach of the 50-week EMA near $77,000, sparking short-sell triggers. A fast recovery above this could expose a fake drop, perhaps lifting BTC to $87,000. Bitcoin currently stabilizes at $79,910.
U.S. Tariffs Shock Financial Markets Worldwide
While crypto fans tracked BTC’s tumble, traditional markets flinched at new U.S. trade tariffs set for April 9. Commerce Secretary Howard Lutnick confirmed no delays would cushion the hit.
These tariffs could disrupt supply chains and hike commodity prices, feeding inflation fears. A “second inflation surge” now rattles equities and risk assets like Bitcoin and altcoins.
Markets Eye an Early Fed Rate Slash
Despite inflation risks, traders increasingly expect the Federal Reserve to cut rates soon to avert a steeper crash. U.S. inflation numbers—March CPI and PPI—hit April 10–11, potentially guiding the Fed’s next move.
Polymarket odds tilt toward a May cut over June predictions. Anthony Pompliano warned that if the Fed stalls while markets weaken and inflation eases, the U.S. risks a brutal, prolonged recession.
Retail Investors Dump Amid Rising Panic
As institutions play it cautious, retail traders—who drove prior crypto booms—drain cash and courage, fueling frantic sell-offs.
The Crypto Fear & Greed Index sank to multi-month lows, exposing widespread dread. On April 7, 2025, it logged 23—“Extreme Fear”—a sharp decline from 34 the week before, reflecting the unease sweeping investors.
Conclusion: Black Monday’s Ghost Returns?
It’s too soon to label this a Black Monday rerun, but technical glitches, shaken morale, and economic threats stir a perfect storm. Bitcoin and global markets hover near a major plunge. Who will rise, and who will sink? That’s the burning question.
