Bitcoin Ends Q1 2025 With 11.86% Decline, Worst Since 2018
1min read Bitcoin's first quarter of 2025 concluded with the cryptocurrency struggling to gain momentum, as cautious market sentiment and bearish indicators dominated the landscape. The quarter saw Bitcoin's value decline by 11.86%, marking the worst performance since 2018 and the fourth lowest on record. This downturn was exacerbated by broader market turbulence and fresh macroeconomic volatility, with the potential for new US trade tariffs adding to the uncertainty.
Despite a slight uptick in Bitcoin's price, with a 1.5% increase on March 31, the overall sentiment from traders remained largely cautious. The relative strength index (RSI) indicated potential bearish pressure, with traders suggesting that Bitcoin may retest levels closer to $80,000. Analysts like Roman and Rekt Capital expressed uncertainty, noting that the RSI was trying to retest its downtrend as support, which could lead to continued resistance from Bitcoin's price action.
Comparing Bitcoin's performance to the broader stock market, the recent decline of the S&P 500 by 1.5% further compounded the challenges for Bitcoin. The correlation between Bitcoin prices and stock performance suggests that Bitcoin traders should remain vigilant of stock market trends, as they will undoubtedly influence cryptocurrency valuations going forward. The ongoing correlation suggests that any buying momentum is currently being capped at the $89,000 level, with previous range lows from December 2024 acting as strong resistance points.
As the first quarter of 2025 concludes, Bitcoin finds itself in a precarious position with a year-to-date drop of 10.8%. Current targets for Bitcoin have been lowered, with estimates suggesting a potential drop to around $65,000. The worst first quarter since 2018 raises questions on the trajectory of the current bull phase, as mentioned in recent analyses. Market participants are advised to remain informed on Bitcoin's fluctuating price metrics, keeping an eye on chart formations that may provide early indicators of shifting momentum.
In conclusion, while Bitcoin's recent uptick provides a glimmer of hope, critical bearish signals continue to dominate the landscape. With upcoming economic policies on the horizon, investors must exercise caution and maintain a diversified portfolio to navigate these turbulent times effectively. Ultimately, understanding these dynamics will be crucial for informed decision-making in the evolving cryptocurrency market. 
