Bitcoin, which surpassed $79,000, suddenly plummeted. What's the real reason?

▲ Bitcoin crash/ChatGPT generated image ©

Bitcoin (BTC), the leading cryptocurrency, which had surpassed $79,000 with an unstoppable rally, suddenly plummeted to the $77,000 level, causing a significant shock to the market. This sudden drop, occurring in the absence of clear negative news, is interpreted as a result of a combination of large-scale long position liquidations and extreme caution among investors ahead of the upcoming US Federal Open Market Committee (FOMC) regular meeting.

According to the cryptocurrency specialized media Watcher.Guru on April 27 (local time), Bitcoin surged to an intraday high of $79,399 but then rapidly dropped to $77,595, experiencing a steep correction. Based on data from the virtual asset market aggregator CoinGecko, Bitcoin's price fell by 0.5% compared to 24 hours ago. This sudden crash led to the forced liquidation of $68 million worth of long positions in just one hour, and $41 billion evaporated from the global cryptocurrency market cap, with $27 billion of that amount stemming from Bitcoin alone.

Virtual asset analysis firm Coin Bureau analyzed that there was no clear catalyst that triggered this sudden drop. However, Bitcoin has shown a steady recovery since falling to the $62,000 level in February 2026. In particular, the fact that the major resistance level, which was previously between $73,000 and $74,000, has recently risen to around $79,000 is interpreted as a positive sign indicating a gradual recovery of the asset.

Despite the temporary price decline, Bitcoin still maintains solid returns on other time charts. While it is down 17.4% on an annual basis, recent trends show a 4.5% increase over the past week, 9.5% over 14 days, and 17% over the last month, indicating that it has not lost its medium-to-short-term bullish momentum.

Market experts point out that Bitcoin and the overall cryptocurrency market are extremely sensitive to geopolitical tensions and macroeconomic uncertainties. In particular, with the US Federal Reserve (Fed) expected to freeze interest rates at the upcoming Federal Open Market Committee meeting, concerns about prolonged high interest rates and the cautious stance of investors waiting to confirm the meeting's outcome are cited as major reasons for the recent sell-off.

However, there is still ample room for the market to rebound. The media predicts that the situation could reverse if Kevin Warsh takes over as the new Federal Reserve Chair from Jerome Powell in May. The possibility of the new chair implementing interest rate cuts immediately after taking office has been raised, and this could significantly boost investor confidence and act as a powerful catalyst to lead Bitcoin's full price recovery, according to analysis.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*