Bitcoin falls under $ 100,000 after US attack on Iran's nuclear systems
Bitcoin fell under the psychologically important brand of $ 100,000 on Sunday after the USA after the United States had attacked Iranian nuclear systems. The leading cryptocurrency temporarily noted at $ 99,248 and thus lost over 3 percent of its value.
As has often been the case in the past, BTC reacts to geopolitical developments at very short notice and could thus anticipate the price developments on the stock exchanges that will only open on Monday.
Geopolitical escalation loads markets
The price losses are directly related to the latest escalation in the Middle East. In the night of Sunday, US President Donald Trump announced that American armed forces had bombed three Iranian nuclear systems in an operation with the code name “Midnight Hammer”. This development significantly increases the already tense situation between Israel and Iran.
The markets are particularly concerned that Iran could block the Hormus road as a retaliation measure. This strategically important match between Oman and Iran is a needle for global oil trade and handles around 20 percent of global oil deliveries.
Oil prices could rise drastically
According to reports, over 50 large oil tankers already fled the Hormus road. Analysts from the investment bank JPmorgan warn of a possible increase in oil prices to $ 120 to $ 130 per barrel if there is actually a blockade. This would represent your “worst-case scenario” for the Israel Iran conflict.
Such an increase in oil price could drive the US inflation rate up to 5 percent-the highest value since March 2023. This might force the Federal Reserve to re-increase interest increases, which would exert additional pressure on risky systems such as cryptocurrencies.
Wide losses in the cryptoma market
The losses at Bitcoin pulled the entire cryptocurrency market down. Ethereum recorded particularly severe losses with a minus of over 10 percent to $ 2,171 and has fallen to the lowest level since the beginning of May.
Other important cryptocurrencies also had to accept significant losses:
- XRP fell 6 percent to $ 1.935 – the lowest stand since April 10
- Solana noted at $ 127
- Dogecoin slipped to $ 0.147
Massive liquidations
The market turbulence led to extensive compulsory liquidations. According to the data from Coinglass, within 24 hours of positions worth over $ 949 million were dissolved, with the majority ($ 849 million) in long positions-bets on rising courses.
Ethereum led the liquidations with $ 369 million, followed by Bitcoin with $ 242 million. The overall market capitalization of all cryptocurrencies fell to $ 3.25 trillion, a decrease of 4.4 percent.
Outlook remains insecure
Users of the Myriad forecast platform are increasingly pessimistic about short-term Bitcoin development. When asked whether Bitcoin is more of a new all -time high of $ 115,000 or falling under $ 95,000, almost 65 percent of the Bearish variant users.
The further development is likely to depend significantly on the geopolitical situation in the Middle East. If the tensions further exacerbate or should Iran actually block the street of Hormus, the losses at Bitcoin and other cryptocurrencies could be even more pronounced.
