Bitcoin's $78,000 Support Faces Ultimate Test: With Soaring Treasury Yields and Inflation Pressure, the Door to $75,000 is Opening
Bitcoin has fallen below the $78,000 support level, now facing a critical test due to severe macro pressures. The price slid from above $81,000 to a low near $77,711, with the $77,700-$78,000 zone identified as the next key support.
The primary headwinds are surging U.S. Treasury yields—with the 10-year approaching 4.6% and the 30-year surpassing 5.13%—and persistent inflation. April's CPI accelerated to 3.8%, while WTI oil prices climbed above $105. These factors increase the opportunity cost of holding zero-yield assets like Bitcoin and tighten the Fed's policy space.
Crucially, U.S. spot Bitcoin ETFs, which previously provided a buffer, saw significant net outflows on two of the past three trading days, removing buying support when it was most needed.
The technical outlook hinges on whether Bitcoin can hold above $77,700. A daily close below this level could open a path toward $76,500 and then the major $75,000 support. A recovery above $80,000 is needed to break the bearish pattern, with a close above $82,000 (the 200-day moving average) required to invalidate the breakdown. Failure to hold support could shift the narrative from a crypto correction to a broader, macro-driven risk asset deleveraging.
marsbit05/18 03:37
