Factors Contributing to Bitcoin’s Price Decline on April 20, 2025

Bitcoin’s price has decreased by 0.9% to $84,612 on April 20, 2025, due to geopolitical tensions, market sentiment indicating fear, reduced futures market activity, adjustments post-halving, and profit-taking after reaching over $100,000 earlier this year.

As of April 20, 2025, at 11:00 AM ET, Bitcoin (BTC) is priced at approximately $84,612, marking a slight decrease of 0.9% within a 24-hour period. The decline coincides with Easter celebrations globally, which likely contributes to reduced trading volume.

Key factors driving today’s downturn include heightened geopolitical tensions and economic uncertainty primarily stemming from rising trade conflicts between the U.S. and China. Investors are seeking safer assets like gold, leading to increased volatility in the cryptocurrency market.

Market sentiment is also a critical component; the Crypto Fear & Greed Index has dropped to 25, indicative of extreme fear among traders. Moreover, Bitcoin’s Relative Strength Index (RSI) is at 30, suggesting it is oversold. Alongside this, the Moving Average Convergence Divergence (MACD) signal indicates potential further declines.

In the futures market, a reduction in open interest is observed, with traders closing positions and decreasing exposure. This shift towards less speculative activity lowers liquidity and contributes to price volatility.

Additionally, after Bitcoin’s recent halving event, the market is in a transitional phase, marked by increased volatility as miners and investors adapt their strategies following reduced block rewards.

Finally, profit-taking activities are evident after Bitcoin’s significant surge earlier this year, peaking over $100,000. This selling pressure is a natural response contributing to the current price correction.