Bitcoin Drops 5% to $100K Amidst Global Market Turmoil from Israel-Iran Conflict
Bitcoin Price Prediction: Following a period in which Bitcoin comfortably maintained its value above $100,000 for several weeks, the cryptocurrency entered a bearish phase over the weekend due to rising geopolitical tensions in the Middle East that unsettled global markets. After almost two months, the price dropped to the $100,000 level for the first time, indicating a change in momentum amidst increasing uncertainty.
The decline occurred following U.S.-supported Israeli attacks on Iran’s military and nuclear sites as part of “Operation Rising Lion.” As of the time this was written, Bitcoin’s trading value (as per CoinMarketCap) was $101,210, reflecting a decrease of almost 5% from the previous week. The wider cryptocurrency market reflected this downturn, as major altcoins such as Ethereum, XRP, Cardano, Solana, and Dogecoin also experienced significant losses. Ethereum, specifically, fell below the $2,200 mark as spot ETH ETFs experienced their peak monthly outflows. Eight cryptocurrency markets reflected this downturn, as major altcoins such as Ethereum, XRP, Cardano, Solana, and Dogecoin also experienced significant
Himanshu Maradiya, the Founder & Chairman of CIFDAQ, stated that following 6 weeks above $100K, Bitcoin has dropped below a crucial support level due to fears affecting global markets after U.S. attacks on Iran’s nuclear sites.
The Markets Desk at CoinSwitch observed that during the weekend, Bitcoin found initial support near the $98,200 mark. According to analysts, should Iran intensify the conflict further—particularly by threatening to shut the Strait of Hormuz—Bitcoin might probe deeper support levels in the $94,000 to $98,000 range. The daily chart is developing a bullish inverse head and shoulders pattern, which could propel BTC to $135,000 if tensions ease.
As per the CoinDCX Team, over the weekend, crypto positions worth over $1 billion were liquidated, causing market fears. In spite of the sell-off, institutional investors perceived an opportunity. The Japanese company Metaplanet acquired 1,111 BTC, Cardone Capital added 1,000 BTC to its holdings, and MicroStrategy is said to be planning further acquisitions. It is worth mentioning that this week, BlackRock’s spot Bitcoin ETFs acquired 11,638 BTC, while the average mining output was only 3,150 BTC. This suggests an impending supply shortage.
According to Edul Patel, the CEO of Mudrex, Bitcoin has begun its recovery, rising 3% from the lows recorded over the weekend. He added, “With long-term holders entering and short-term traders retreating, we might be close to a market bottom. The $100K mark continues to serve as an important psychological and technical support level.
Currently, Bitcoin is trading just over $101,300, facing immediate resistance at $105,400.
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