Amid escalating geopolitical tensions in the region.
The price of Bitcoin fell by 5% to reach $102,900 early Friday before bouncing back and trading above $105,000, while the price of gold surged instantly to $3,429, indicating a shift towards safe assets by investors, according to 'TradingView' data.
The leading digital currency had seen a slight recovery yesterday, Thursday, reaching $108,450.
However, the launch of the operation called 'Rising Lion' by Israel has put pressure on the market, with 'Benjamin Netanyahu' announcing that the campaign will continue for days to eliminate the threat.
In a related context, U.S. Secretary of State 'Marco Rubio' confirmed that the strikes were a unilateral decision by Israel, considering them a defensive step, while the International Atomic Energy Agency expressed concern over Iran's failure to cooperate, which prompted Tehran to announce the establishment of a third site for uranium enrichment and the deployment of advanced centrifuges.
The United States has begun withdrawing some of its diplomats from Baghdad and has offered a voluntary evacuation option for the families of American military personnel in the Middle East, amid travel warnings due to escalating tensions.
Despite the ongoing nuclear talks with Iran, according to former U.S. envoy 'Steve Whitcomb', military developments could negatively impact regional stability and American interests.
Historically, Bitcoin has experienced sharp fluctuations during times of geopolitical crises, as investors prefer safe traditional assets.
However, the currency often recovers quickly, supported by its status as a digital asset preserving value.
At the time of writing this article, the price of Bitcoin is trading at $105,064.
The cryptocurrency market continues to decline, with the price of Ethereum falling below $2,500 and Ripple to $2.1.
Liquidation operations with leverage reached nearly one billion dollars within 12 hours, with long positions responsible for $937 million of that, compared to only $67 million for short positions.
