Bitcoin Plummets Below $100K as US Targets Iran Nuclear Sites
bitcoin Dips Below $100,000 Amid Geopolitical Tensions
Market Reaction to U.S. Military Actions
bitcoin has fallen below the $100,000 mark for the first time since May, while Ether has also experienced a significant decline. This downturn follows President Donald Trump’s announcement regarding U.S. bombers targeting Iran’s primary nuclear facilities, which has led to heightened risk aversion in the cryptocurrency markets over the weekend.
Significant Price Movements
As of 12:05 p.m. in New York, bitcoin plummeted by 3.8%, reaching $98,904 in the wake of the military actions. Ether, the second-largest cryptocurrency, saw a sharper decline of up to 10%, dropping to approximately $2,157—its lowest level since May 8.
Geopolitical Concerns Impacting Markets
Caroline Mauron, co-founder of Orbit Markets, noted that investors are closely monitoring ongoing geopolitical events. She emphasized that when traditional markets reopen, the focus will likely shift to oil prices.
Details of the Military Operation
The recent price drops coincide with Trump’s confirmation that U.S. forces struck Iranian sites at Fordow, Natanz, and Isfahan. He specifically mentioned the deployment of a “payload of BOMBS” on Fordow, a critical site for uranium enrichment, raising international alarms about Iran’s potential nuclear ambitions.
Market Sentiment and Liquidations
Cosmo Jiang, a general partner at Pantera Capital Management, explained that the uncertainty surrounding possible U.S. strikes against Iran has contributed to a selloff in the cryptocurrency market throughout the week and into the weekend. In the last 24 hours, liquidations in the crypto sector exceeded $1 billion, with approximately $915 million in long positions and $109 million in short positions being closed, according to data from Coinglass.
Historical Context and Future Outlook
Jiang remarked that bitcoin often leads the market in recovery during periods of geopolitical instability, suggesting that investors may look to the cryptocurrency for signs of a rebound as tensions evolve.
Conclusion
As the situation develops, market participants will continue to assess the implications of geopolitical events on cryptocurrency prices, particularly bitcoin and Ether, which are sensitive to broader economic and political climates.
