Bitcoin’s price fell below the $80,000 mark as the week ended on April 6, following a wave of panic selling in the global stock market. While crypto investors were hoping for stability, fears of a stock market meltdown — similar to the infamous 1987 Black Monday crash — have sent shockwaves across markets.
Bitcoin Drops as Volatility Hits All Markets
According to data from Cointelegraph Markets Pro and TradingView, Bitcoin (BTCUSD) dropped nearly 3% for the week, dipping under $80,000 on Saturday. This decline followed a week of sharp volatility caused by trade tensions and recession fears.
The U.S. stock market experienced even more significant losses. Both the S&P 500 and the Nasdaq Composite Index closed the April 4 session down by almost 6%, a major drop that alarmed many investors.
$8.2 Trillion Lost: Tariffs Spark Panic in Stocks
Financial analyst Holger Zschaepitz highlighted that a new set of trade tariffs announced by former President Donald Trump may have wiped out $8.2 trillion in stock market value — more than was lost during the worst week of the 2008 financial crisis.
This massive loss has brought back comparisons to the 1987 Black Monday crash, where markets plunged in a single day. The fear of a repeat has spread across social media, with many traders urging caution going into the next trading week.
CNBC’s Jim Cramer Raises Alarm Bells
Jim Cramer, host of CNBC’s “Mad Money,” voiced concern over the current market setup. Over the weekend, he posted on X (formerly Twitter):
“Frantically trying to build a new world order, but I don’t see anything yet that takes the October ‘87 scenario off the table.”
Cramer had previously warned about the possibility of a 1987-style crash but also noted that modern market tools like circuit breakers could slow down the damage.
Bitcoin Advocates Predict a Bullish Turn
Despite the decline, some Bitcoin supporters remain optimistic. Max Keiser, a well-known Bitcoin advocate, made a bold claim — predicting Bitcoin could surge to $220,000 by the end of April if global markets continue to collapse.
He argued that in times of financial crisis, investors may move their money to Bitcoin as a safe haven.
Crypto vs. Stocks: A Diverging Path?
Interestingly, while traditional stocks faced heavy selling, Bitcoin showed signs of strength earlier in the week. Some analysts believe Bitcoin could soon make a strong move, depending on how the stock market performs.
Popular crypto trader Daan Crypto Trades pointed out that Bitcoin’s volatility is currently low, while the VIX — a key measure of stock market volatility — is at its highest point since the COVID-19 crash in 2020.
“This kind of behavior is unusual,” he explained. “It suggests a big move in Bitcoin is coming soon.”
Was the Drop Just a Fake-Out?
Another trader, Cas Abbe, compared the current drop to past events like the post-ETF sell-off and the crash in August 2024. He believes the recent low of $76,000 might have been a “fake breakdown” — a short-term dip before prices move higher again.
He added that a weekly close above $92,000 would confirm a return to a bullish trend.
As markets prepare for another unpredictable week, all eyes are on how stocks will open and whether Bitcoin can separate itself from the chaos. While fears of a 1987-style crash are growing, some crypto traders see this as a chance for Bitcoin to shine as a financial safe haven.
The Information is Collected from Binance and MSN.
