Black Monday 2.0? 5 things to know in Bitcoin this week

Bitcoin (BTC) is turning back the clock this week as tariff mayhem drags BTC price action toward 2021.

• Bitcoin is giving up bull market support lines left and right as a new “death cross” completes on the BTC/USD daily chart.

• CPI week is firmly overshadowed by US trade tariffs and their increasingly global impact on stock markets.

• Both crypto and TradFi market participants are drawing comparisons to “Black Monday” 1987 and the COVID-19 cross-market crash.

• Bitcoin’s speculative investor base is firmly out of pocket and likely increasingly tempted to panic sell.

• Sentiment everywhere is nonexistent, with the TradFi Fear & Greed Index recording its lowest score in history.

BTC price “death cross” brings 2021 highs into play

Bitcoin risks falling below its old all-time highs from March 2024 next, Data from Cointelegraph Markets Pro and TradingView shows.

After slipping below $75,000 for the first time since November, BTC/USD is rapidly reawakening long forgotten bull market support lines. These include $69,000, a level that first appeared in 2021.

The dive, which came as a copycat move several days after stock markets began to suffer major losses, caught many by surprise.

Is our uncorrelated hedge in the room right now?

— Charles Edwards (@caprioleio) April 6, 2025

“This is $BTC’s last chance to maintain its macro uptrend structure,” popular analyst Kevin Svenson summarized in a warning on X.

Among the trend lines now lost as support is the 50-week exponential moving average (EMA) at around $77,000.

In an X thread on the coming week, popular trader CrypNuevo described price violating that level as the “only short triggerr I’ll be paying attention to.”

“If we drop below support and get back above it, then I’ll consider this as a deviation and that will be my long trigger fo a push up back to $87k,” he explained.

Trading resource Material Indicators, meanwhile flagged a telltale “death cross” on daily timeframes. This typical bearish signal involves the 50-day simple moving average (SMA) crossing below its 200-day equivalent.

“The momentum carrying through that Death Cross, puts BTC at a critical macro support test,” it told X followers. 

“Stay tuned…”

CPI week meets emergency rate cuts

Like last week, US trade tariffs are the major talking point across financial markets worldwide.

The impact of measures announced last week continues to be felt, as downside momentum on risk assets now becomes fueled by the prospect of more tariffs set for release on April 9.

Speaking to mainstream media over the weekend, Commerce Secretary Howard Lutnick confirmed that the US government would go ahead with the measures without delay.

“The tariffs are coming,” he told CBS News.

With sentiment diving and panic setting in among market participants from trading desks to hedge funds, little attention is being paid to the week’s other potential volatility catalysts.

These will come in the form of US inflation data, itself a key topic as tariffs risk causing unexpected price growth.

The March prints of the Consumer Price Index (CPI) and Producer Price Index (PPI) are due on April 10 and 11, respectively.

Previously, Jerome Powell, Chair of the Federal Reserve, said that while tariffs would have a palpable effect on the US inflation battle, it would be difficult to assess this accurately in advance.

“As the new policies and their likely economic effects become clear, we will have a better sense of the implications for the economy and for monetary policy,” he subsequently said during a speech last week.

Market expectations of the Fed easing policy to compensate for the tariffs are clearly reflected in interest rate forecasts.

The latest data from CME Group’s FedWatch Tool now shows that consensus favors a 0.25% rate cut at the Fed’s May meeting — sooner than the June deadline assumed until this weekend.

In informal circles, including social media and prediction platforms such as Polymarket, bets of an “emergency” rate cut coming sooner are rising rapidly.

“The Federal Reserve may have to make an emergency rate cut soon,” Professional Capital Management founder and CEO Anthony Pompliano predicted at the weekend. 

“Inflation has fallen to the lowest levels since 2020. If this continues, it will be a BIG problem.”

“Black Monday” 1987 or COVID-19 repeat?

In the short term, the “effects” of tariffs are feared to include a marketwide crash similar to “Black Monday” in 1987. 

As Cointelegraph reported, market responses to the first round of reciprocal tariffs laid the…