Bitcoin Soars Above $87000 as Donald Trump Targets Fed’s Powell, Dollar Hits 3-Year Low

On April 21, 2025,  Bitcoin climbed above $87000. As the political tensions surge in the traditional market following Donald Trump’s renewed threats to terminate Federal Reserve Chairman Jerome Powell. This continued speculation over Federal Reserve Chairman Powell’s termination spooked the market confidence, sending the U.S. dollar index 3-year low, and boosting demand for decentralized assets. While many decentralized assets are still facing volatility, Bitcoin is viewed as a hedge against political and monetary instability among traders and investors. That is, the dollar’s slide and fear of leadership disruption at the Central Bank have been strengthening Bitcoin’s position as a store of value.  

Here, we have provided the  Bitcoin price analysis of the last 24 hours for your better understanding. Let’s dive in.

Bitcoin’s Dynamic Price Action – April 20, 202

On April 20, 2025, Bitcoin exhibited notable price fluctuations within the trading range. During the early trading session, Bitcoin began with a brief rise and kept fluctuating. A Golden Cross on MACD at 00:45 UTC confirmed this uptrend. However, at 05:10 UTC, a Death Cross on MACD signaled a potential trend reversal. Likely, at 06:10 UTC, Bitcoin price action resisted, began to fall, broke the support at $84,665, and dropped to $83,940. However, at 10:45 UTC, Bitcoin encountered an RSI oversold situation, indicating the possible uptrend. 

Chart 1 – Analyzed by Buvaneswari_L, published on TradingView, April 21, 2025

As expected, at 11:30 UTC, Bitcoin found support at $83,940 and began to wave on the upside. A Golden Cross on MACD at 12:00 UTC endorsed this upward movement. Later, at 20:10 UTC, Bitcoin encountered an RSI overbought zone, signaling a possible downtrend. Likely, at 20:15 UTC, Bitcoin resisted at $85,243, and began to experience a short-term fall. But at 22:30 UTC, Bitcoin began to move on the upside, kept fluctuating, and closed at $85,210. 

Bitcoin Tops Above $87,000 – April 21, 2025

As illustrated in Chart 1, the early trading session on April 21, 2025, Bitcoin’s trading day began with an upward movement, indicating a strong bullish momentum. At 00:15 UTC, Bitcoin breached a breakout, broke the resistance at $85,243, spiked, moved in an upward channel, and reached the top price of the day at $87,662. At 00:25 UTC, Bitcoin encountered an RSI overbought situation, indicating the potential downtrend. Furthermore, a Death Cross on MACD at 01:50 UTC signals the ensuing downtrend. 

As expected, at 02:20 UTC, a pin bar, followed by a full-body red candle, signaled the potential downtrend and experienced a short-term fall. At 04:30 UTC, Bitcoin found support at $87,012, and began to move on the upside and kept fluctuating within the key levels. 

Bitcoin’s Possible Scenario

Based on the Bitcoin price analysis, today Bitcoin is strongly projecting a strong bullish sentiment. Currently, Bitcoin is eyeing to break off the support at $87,102. If it succeeds in its attempt, it could encounter a possible price fall. But as the traditional market and political uncertainty are driving more investors’ attention towards Bitcoin, it could potentially fake out and attempt to break the resistance at $87662 and reach a new high. 

Due to Donald Trump’s Federal Reserve Powell’s termination, traditional market sentiment remains uncertain. Hence, we suggest that traders and active market participants closely monitor Bitcoin’s performance to know when to buy or sell it to yield potential gains.