Bitcoin has broken out of its consolidation range, surging past $87,000 and reaching its highest level since late March. This move signals renewed strength in the crypto market, with BTC now up 16% from its April low of just under $75,000.

From Slump to Surge–BTC Eyes New Highs

After dipping to $84,000 on April 20, Bitcoin staged a sharp rally, adding over $3,000 in value within a day. Now trading around $87,546, BTC is testing the upper boundary of a range that began in early March. Analysts view this move as a breakout, especially as BTC defies traditional market trends, rising while Nasdaq futures fall.

According to Scott Melker, this decoupling from tech indices marks a turning point: “Bitcoin is breaking out,” he stated as broader equities declined.

Correlation with Gold Grows Amid Dollar Weakness

BTC is now closely mirroring gold, both assets rising amid concerns over the weakening US dollar. The DXY has dropped 10% year‑to‑date, as trade tensions escalate globally. The Kobeissi Letter highlighted that Bitcoin and gold are aligning for the first time in years–signaling investor movement into inflation hedges and alternative stores of value.

Technical analyst Rekt Capital noted that Bitcoin didn’t just break its downtrend–it retested it successfully as support for the first time since forming the trend. This retest confirms a potential shift in structure and opens the door for new highs if momentum holds.

Short-Term Target and Market Outlook

With BTC up 3,7% on the day and sentiment improving, eyes are now on a short-term target around $90,000. Liquidity clusters and rising volumes suggest that BTC could continue pushing higher, especially if macroeconomic conditions further deteriorate or capital rotates out of fiat and tech stocks into crypto.