📉 Widespread decline of the crypto market
Bitcoin $BTC dropped between 2.7% and 4%, fluctuating between 103,000 and 105,000 USD after the Israeli attacks, reflecting a widespread risk aversion.
Other cryptos emerged even more affected: Ethereum fell ~7.6%, XRP 5–6%, and Solana between 9–10%.
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💸 Massive liquidation
More than 1 billion USD in leveraged positions were liquidated:
~$448 M in BTC and ~$288 M in ETH.
In total, it is estimated that between 700 and 1,150 million USD were wiped out.
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🛡 Bitcoin did not act as a safe haven
Unlike gold or the dollar, which rose (~1% in gold, 0.4% in USD), Bitcoin fell, evidencing that it behaves more like a risk asset than a safe haven.
Critics like Peter Schiff highlighted that this reaction undermines the narrative of "digital gold."
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🔍 Why this reaction?
In the face of geopolitical events, investors flee to safer assets: gold, Treasury bonds, and traditional currencies.
Cryptocurrencies suffered automatic sales due to algorithms and margin call liquidations.
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⚖️ Short-term outlook
Continued volatility in the crypto markets is expected as tensions persist. Technically, many see strong support between 100,000–101,000 USD for BTC.
Some analysts speculate a subsequent recovery, as occurred in October after previous tensions.
