Bitcoin climbed to $77,400 on Thursday, recovering alongside other risk assets after a wave of strong earnings reports from the largest U.S. tech companies stabilized markets.
Apple, along with Google parent Alphabet, Microsoft, Meta, and Amazon, all reported double-digit revenue growth this week, driving renewed confidence in the AI growth story. Analysts are calling the bounce a relief rally rather than the start of a new bullish trend.
The market is facing significant headwinds. The Federal Reserve held rates steady this week at 3.50% to 3.75%, with four dissenting votes-the most since 1992. Higher oil prices, driven by the Iran conflict and disruptions in the Strait of Hormuz, could fuel inflation and keep central banks from cutting rates.
Bitcoin spot ETFs saw over $400 million in outflows as April closed, adding to the cautious tone. The immediate technical test is the $80,000 resistance level. A decisive break above it could attract new buyers, while a failure could trigger selling from leveraged longs.
Jerome Powell’s tenure as Fed Chair ends on May 15. Kevin Warsh, President Trump’s nominee to replace him, is expected to take the helm for the June FOMC meeting. Warsh is known for his hawkish, tightening stance on monetary policy, which could inject additional volatility into the markets.