Bitcoin Surges Past $87K: Breakout Signals Amidst US Dollar Weakness

Bitcoin has surpassed $87,400, marking its highest price since March 28, with a significant rise after reaching a low of $75,000 earlier in April. Its recent performance reflects a breakout from a period of consolidation and correlates with gold’s new all-time highs amidst a weakening US dollar. Analysts observe Bitcoin’s market decoupling from tech trends, defying earlier predictions of a price drop.

Bitcoin (BTC) has recently surged past the $87,400 mark on April 21, reaching its highest price since March 28. The increase of over $3,000 from an intraday low of just above $84,000 on April 20 indicates a significant recovery. Moreover, since its low in 2025 of nearly $75,000 on April 9, Bitcoin has risen by 16%, reducing its peak price gap to 20%.
While a daily increase of 2.4% is typical, this jump positions Bitcoin at the upper limits of a consolidation range initiated in early March. Scott Melker has highlighted this breakout amidst a downtrend in Nasdaq futures. The alignment of narratives for both gold and Bitcoin is noteworthy, with the Kobeissi Letter mentioning Bitcoin’s breakout coinciding with gold achieving its 55th all-time high in the past year. This observation suggests that growing unease in the markets corresponds to a weakening US dollar.
The US Dollar Index (DXY), which assesses the dollar against six major currencies, has seen a 10% decline since the start of the year, amidst mounting global trade tensions. Analysts, including Geiger Capital, reiterated the significant trend; they noted the weakness in tech futures and the USD, presenting an indication that Bitcoin is experiencing a decoupling effect.
Despite previous predictions forecasting a drop to $83,000 over the Easter period, Bitcoin has circumvented these expectations. Notably, analyst ‘Rekt Capital’ indicated that Bitcoin decisively broke its downtrend and has effectively retested it as support for the first time since the downtrend was formed.
Furthermore, an article in Hodler’s Digest speculates on the potential for an altcoin season to emerge in the second quarter of the year, reflecting optimism in the market.