Bitcoin’s recent jump to $81,180, driven by false hopes of a U.S. tariff pause, has quickly reversed after the White House confirmed that a steep 104% tariff on Chinese imports will begin on April 9.
The cryptocurrency has now dipped below $75,000 — a level not seen since November 6, 2024 — and is once again testing a critical support zone that traders are watching closely.
This key area sits between $77,000 and $73,400, a so-called fair value gap formed during the surge that followed former President Trump’s campaign push in late 2024. Bulls are hoping this zone will offer some much-needed stability.
Market analyst and MN Capital founder Michael van de Poppe previously noted that a retest of this area was necessary before Bitcoin could resume its upward trend. In a recent post on X (formerly Twitter), he commented:
“The move toward $80,000 was strong — now the question is whether we’re due for another dip or if the worst is behind us.”
Analyst Jelle echoed a similar view, noting that Bitcoin’s April 7 recovery — closing above $79,000 after plunging to $74,400 — was a bullish sign, especially compared to the performance of traditional markets.
“Let’s wait for the volatility to settle. Once the dust clears, I expect further upside,” he said.
Long-Term Holders May Be Eyeing the Exit
While some are holding out hope for a rebound, on-chain data from CryptoQuant paints a more cautious picture. The platform’s latest metrics suggest that long-term holders — wallets that have held BTC for over 155 days — may be moving their coins to exchanges, potentially to sell.
The key indicator here is the Exchange Inflow Coin Days Destroyed (CDD), which tracks how long-held coins are being moved. A spike in this metric often signals incoming selling pressure.
A CryptoQuant contributor, known as IT Tech, highlighted that a similar spike occurred on April 2, just before Bitcoin fell from $88,000 to $81,000. Another uptick on March 27 also preceded a sharp 7% decline.
Now, with another surge in this indicator spotted on April 7, questions are being raised:
Are veteran Bitcoin holders gearing up to sell once again?\
If the past is any guide, Bitcoin may face a few more choppy days ahead. The previous all-time high near $74,000 could act as the next key support in case the sell-off gains momentum.
