Bitcoin Price Reacts to Binance User Behavior & Tariff Tensions: CryptoQuant Report

Recent data from the Binance exchange has revealed interesting insights into Bitcoin trading behavior in the past few weeks. In this time of high market volatility, the Bitcoin price has seen sharp fluctuations. The coin crossed $88,000 earlier this week before retracing to $81,332. As of now, Bitcoin trades around $83,500, marking a 5.7% decline. 

CryptoQuant Points Out Market Trend, Bitcoin Set to Benefit

CryptoQuant analyst Maartun analyzed the Binance user activity data and discovered notable trends among returning traders. Over half of Binance users make a second deposit within 16 days of their initial transaction. About 10% do their second deposit within one day. Additionally, a third of the users reload their account by day 7. This behavior highlights a preference for active trading rather than long-term holding. 

Such frequent trading activity is contributing to Bitcoin’s price volatility, notes Martuun. Rapid buying and selling by traders instigate fluctuations, making Bitcoin prone to rapid short-term movements. This goes hand-in-hand with the broader market trend, destabilized by Trump’s tariff announcements. 

April Important Month For Bitcoin Price, $75,000 A Key Support

Experts also predict that April will be important for Bitcoin’s growth. Historical patterns suggest that significant price action may occur around mid-April. This will either lead to a breakout towards $100,000. If not, it will start a bearish trend to lower support levels near $75,000. Traders are closely monitoring these key levels for both scenarios. Arthus Hayes, co-founder of BitMEX has also postulated his thesis that $76,500 will be a key price to hold until tax day, failing which Bitcoin will slump down.

Although the market looks turbulent, long-term Bitcoin predictions remain positive. Institutional demand for Bitcoin is at an all-time high, and if the dollar weakens, given the latest tariffs, the bullish trend could be in the driver’s seat for Q2 2025. Given these conditions, let us take a quick look at what the Bitcoin price analysis tells us for today’s BTC price prediction. 

BTC Price Analysis: Bitcoin Stable Around $83,500

Bitcoin commenced trading around the $83,200 mark, marking the end of a long uptrend from the previous day. The RSI also reported overbought levels. A downtrend had already formed, as BTC fell to $82,600 by 5:00 UTC yesterday. A bearish triangle had formed, Bitcoin defied all odds, thanks to the strong buying trend, and climbed all the way up to $84,660, facing strong resistance at that point. With the market now heavily overbought, Bitcoin faced a strict correction, spiking down to $81,800 within two hours.

Chart 1: published on TradingView, April 5, 2025

As the EMAs interacted with each other, a golden cross formed and Bitcoin went on an ascent. However, the buying pressure failed to support this movement adequately as Bitcoin fluctuated rapidly. It slowly reached $83,133 by 17:00 UTC. At 17:20, it spiked up again, testing the $84,700 resistance, but failed to break across. Given the failure, another downtrend formed as Bitcoin found rest at $83,500. With that support, Bitcoin tried to ascend again, but the buying pressure was just not enough, as it plateaued around the $84,300 mark. 

BTC Price Prediction: Can Bitcoin Break Past $85K Again?

Bitcoin’s performance has been subject to heavy influence by the geopolitical conditions. Given that, this has been a sensitive period. While loads of good news has surrounded Bitcoin, the overall market is currently running bearish. Bitcoin’s resilience, however, is worth noting. For now, the $84,700 mark poses problems for Bitcoin today. As of the last update, the RSI was seen approaching overbought levels, and if that trend continues, Bitcoin may face a reversal before it gets close to the $84,700 resistance.