Bitcoin Price Dips 4% After Israeli Strikes on Iran Spark Global Selloff
Bitcoin fell over 4% to $103,556 following Israeli military strikes on Iran, spurring a global selloff in cryptocurrency markets. The U.S. began evacuations in Iraq amid heightened regional tensions. Analysts note the impact of geopolitical events on crypto prices, with Ethereum and XRP also showing sharp declines.
Bitcoin experienced a significant drop of over 4% late Thursday, falling to approximately $103,556, following Israeli airstrikes on Iran. This marked the end of a brief upward trend where Bitcoin had previously reached a 24-hour high of $108,500. Investors reacted swiftly to the escalating geopolitical tensions, leading to a general selloff in the cryptocurrency markets, including substantial losses for major players like Ethereum and XRP.
The military strikes targeted key installations near Tehran and Tabriz, which Israeli Prime Minister Benjamin Netanyahu described as necessary to counteract Iran’s nuclear ambitions. He also indicated that this military operation could extend for an unspecified number of days. Meanwhile, Iran’s response remains officially unannounced, though reports from state media noted explosions and restrictions on air traffic in their skies.
In response to the situation, the U.S. began evacuating personnel from Iraq and issued warnings to American citizens regarding potential risks. The State Department has suggested that military families in nearby countries may opt for voluntary evacuations. Secretary of State Marco Rubio mentioned that while Israel acted independently, America had been informed prior to the action.
Despite ongoing discussions around nuclear negotiations involving Iran, former Trump advisor Steve Witkoff pointed out the continued risks of conflict in the region. Historically, Bitcoin tends to show high sensitivity to global unrest, often leading traders to withdraw from riskier assets during periods of instability.
Currently, Bitcoin is trading at about $103,990, showing slight recovery after its initial dip. The cryptocurrency briefly descended below $103,000 but has managed some stabilization. However, charts indicate that it remains under significant pressure, characterized by expanded Bollinger Bands and the price closely skirting the lower band—an indication of heightened volatility and bearish trends.
The crucial question now revolves around Bitcoin sustaining its positions. After failing to hold above the $106,000 mark, traders are focusing closely on critical support levels around $102,533. Any failure to maintain these levels could exacerbate losses, driving Bitcoin further towards the $100,000 threshold. Meanwhile, key resistance stands at around $105,693, and a sustained close above this could alleviate some market selling pressure.
In summary, Bitcoin’s recent price plunge underscores the fragility of investor confidence amid geopolitical tensions, particularly the Israeli airstrikes on Iran. This incident has prompted a broader risk-off sentiment in the markets, impacting several cryptocurrencies. As the situation develops, traders will closely monitor key support and resistance levels, especially concerning Bitcoin’s ability to maintain price stability above $103,000.
Original Source: www.tradingview.com
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