Bitcoin Surges 12.7% in April 2026, But Vulnerable to Correction

Bitcoin (BTC) prices recorded a significant surge throughout April 2026. However, this rally is deemed to lack a strong foundation, making it potentially vulnerable to correction. According to CryptoQuant data, Bitcoin rose 12.7% on a monthly basis. This increase marks the best since April 2025 and extends the strengthening trend for two consecutive months. Previously, Bitcoin’s price only rose slightly by around 2% in March following five consecutive months of weakening. Meanwhile, Ether also recorded a rise of around 8% over the same period, marking its best performance since August last year. On the other hand, demand in the spot market showed weakness. The demand indicator, which measures changes in Bitcoin purchases over 30 days, remained in the negative zone throughout April. Quoted from CNBC on Saturday (2/5/2026), CryptoQuant’s Head of Research, Julio Moreno, assessed this combination as a warning signal for the sustainability of the price rally. “The divergence between rising futures demand and declining spot demand indicates that the price increase is more driven by leverage than real asset accumulation,” Moreno stated in his report. According to him, such conditions historically tend not to last long and are usually followed by price corrections when leveraged positions begin to be unwound. In contrast, spot trading, which was previously the main foundation of crypto exchanges, is becoming less stable as a revenue source. This is because such activity is highly dependent on asset accumulation cycles that do not always occur consistently. Throughout 2026, crypto demand is deemed to be uneven and more reactive in nature. Price movements are also heavily influenced by external factors, such as expectations of US interest rates and geopolitical tensions related to the Iran conflict. Additionally, the market still lacks positive catalysts, particularly because discussions on crypto market structure regulations in the United States, namely the CLARITY Act, have not shown significant progress.