Bitcoin Nears $90K as Trump Slams Powell and the Dollar Dips

In just 48 hours, BTC has gained over 4%, fueled by political pressure on Fed Chair Jerome Powell and a weakening dollar index.

Trading volumes are making a quiet comeback—another hint that momentum might be shifting..

Still, it’s a choppy ride: $266 million in liquidations over 24 hours, with $146 million wiped from long positions alone. Even with signs of a bounce, traders aren’t convinced just yet.

Funding rates? Flatlined or negative across many exchanges—a clear signal of short-term market jitters.

Сheck this out: Crypto Whale Activity: What It Means for Your Investment Portfolio

• Fear is fading—at least for now. The Fear and Greed Index just hit 38, a level we haven’t seen since March 3, 2025.
• Bitcoin’s grip on the market tightened, climbing above 63.5% BTC dominance as altcoins slipped below the symbolic 30% mark. Ethereum remained unmoved, holding its ground at a 7.1% market share.

BTC Breakout: Resistance Crushed

With a firm daily close above $85,000, BTC rallied swiftly to $89,000, breaking through the 200-day exponential moving average—a key resistance level tracked by institutional traders. The price now enters a new strategic band between $85K and $90K.

Bitcoin’s rise came not with a bang, but with a steady drumbeat—volume hovered at a measured $24 billion on Binance.

Compare that to April 7, when the market’s slide to $74,500 saw trading swell past $54 billion in a frenzy of exits.

Still, yesterday’s numbers more than tripled those of the prior day’s $7.6 billion, a classic tell that momentum may be building as traders eye further gains.

Signs of Life: Institutions Reemerge

Last week may have tested the resolve of U.S. spot Bitcoin ETFs, but April 21 brought a change in tempo—a net inflow of $381.3 million.

This wave of capital reached nearly every fund on the board, excluding only a handful of laggards.

And though the month still sits in the red, with net outflows topping $700 million, this fresh injection suggests institutions are once again eyeing crypto’s long game.

Cautious Optimism as BTC Eyes Key Resistance

As Bitcoin approaches the 200-day moving average, now hovering around $89K–$90K, analysts are warning traders to temper expectations.

According to Daan Crypto Trades, the path forward depends on BTC maintaining support above $85,000 and successfully clearing the $90,000 level.

Roman, a market analyst, noted that the stochastic RSI on the daily timeframe has entered overbought territory—a level that, in prior cycles, has preceded Bitcoin declines of 10% to 15%. With the S&P 500 under pressure as well, he considers the risk of a near-term correction to be elevated.

Discover Insights: What Is Open Interest in Options? Factors to Consider

Elsewhere, sentiment remains cautiously upbeat. Many observers highlight the steep drop in the U.S. Dollar Index, attributing it to escalating friction between the Fed Chair and the President, who persists in urging aggressive interest rate cuts. Such political pressure could deepen the dollar’s decline—and with it, open the door to renewed inflation.

Everyone needs and wants a weaker dollar to service their dollar debts. No one wants it to move too fast, but they need it lower over next 12 months. This is the purest form of global liquidity and is the largest driver of global M2 currently,

expresses Raoul Pal, Founder/CEO at RealVision.

A rate cut could breathe new life into the crypto market, with Bitcoin well-positioned for a medium-term rebound.

But in the near term, the path remains unclear. BTC is once again hovering in limbo, and without a decisive surge, it may struggle to overcome the towering psychological barrier near $90,000.