Bitcoin Rebounds 1.1% After Drop to $87,800

Data from TradingView showed Bitcoin gaining 1.1% on the day after briefly dipping to $87,800. The move marked Bitcoin’s lowest price levels since early January, wiping out more than $10,000 in gains compared with month-to-date highs.

BTC Fills Key CME Futures Gap

The decline also resulted in BTC/USD filling a previously open gap in the CME Group’s Bitcoin futures market from the yearly open. As previously reported by Cointelegraph, such gaps often act as short-term price magnets, with markets frequently revisiting them within days or even hours.

Traders Split on Market Strength After Gap Fill

With additional CME gaps still sitting above the current spot price, trader sentiment remained divided. Trader CW told followers on X that a rapid upside move was likely, arguing that filling the gap was necessary to establish a more stable rally.

Bearish Signals Emerge on Higher Timeframes

Other traders were less optimistic. Trader Jelle grew increasingly bearish, pointing to a potential retest of a descending trendline on the daily chart following an initial breakout. He described the structure as a higher high immediately followed by a lower low, noting that while the CME gap had been filled, the price action no longer appeared strong.

Macro Conditions Dominate Bitcoin Outlook

Ahead of the Wall Street open, macroeconomic factors continued to heavily influence crypto market analysis. In its latest Asia Color update, trading firm QCP Capital described Bitcoin as behaving like a high-beta risk asset, highly sensitive to interest rates, geopolitics, and broader cross-market volatility.

Market Shifts Toward Capital Preservation

QCP Capital noted that until clearer policy signals emerge, crypto markets are likely to remain reactive rather than trend-driven. The firm emphasized that investors are currently prioritizing capital preservation over strong directional conviction, closely watching whether policy missteps could turn short-term volatility into a more systemic event.

Gold Continues to Outperform as a Traditional Hedge

While crypto markets showed uncertainty, gold continued to outperform, reaching a fresh all-time high of $4,888 per ounce. Trading resource The Kobeissi Letter reacted to the milestone by stating that markets are witnessing history unfold in real time.