Featured News Headlines
Bitcoin Price Crashes, Gold Soars: How Markets React to Israeli Strikes on Iran
Bitcoin Price Crashes – Bitcoin (BTC) fell sharply on Thursday night, dropping 2.8% in just 90 minutes after Israel launched airstrikes on Iran, according to CoinMarketCap. The cryptocurrency tumbled from $106,042 to $103,053 before recovering slightly to $104,370 at the time of writing. The market reacted quickly after explosions were reported in Tehran at 22:50 UTC, with Israel later confirming it had targeted Iranian nuclear infrastructure.
The psychological $100,000 support level is now in focus, as Bitcoin’s recent rally has reversed amid geopolitical tensions. Earlier in the week, BTC reached $110,265, just short of its May 22 all-time high of $111,940.
Liquidations surge as traders caught off guard
The sudden downturn led to a wave of liquidations, with $427.84 million in long positions wiped out over the past 24 hours, according to CoinGlass. Many traders had bet on a continued rally, buoyed by strong momentum earlier in the week.
Meanwhile, traditional safe-haven assets such as gold and oil saw notable gains. Gold rose 1.44% and oil surged by 11% over the same period. However, some analysts caution that Bitcoin could outperform in the aftermath, similar to what happened in October, when Bitcoin initially dropped after Iranian missile attacks but rebounded faster than other assets.
Analysts: Volatility may bring opportunity
Anthony Pompliano, a prominent Bitcoin advocate, noted that “this is exactly what happened” during the October conflict, with Bitcoin initially falling but recovering swiftly. He suggested that history may repeat itself if market sentiment stabilizes.
Jan3 CEO Samson Mow also weighed in, posting on X that “this is where you buy it when it feels scary.” Notably, GameStop recently acquired 4,710 BTC using proceeds from a $1.5 billion convertible note raise, entering the market at $513 million in value on May 28.
Uncertainty remains as geopolitical tensions escalate
Israeli Prime Minister Benjamin Netanyahu stated that the military operation will continue “as many days as it takes” to eliminate the threat. In response, Iran reportedly launched over 100 drones, prompting concern about further instability in the region.
The situation remains fluid, and crypto markets are expected to stay highly volatile. Traders and investors are watching closely to see whether Bitcoin will defend the $100K threshold or continue its descent amid growing uncertainty.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.
