The price of Bitcoin ($BTC ) dropped by 3.8% to $99,636 amid geopolitical tensions.
The U.S. airstrikes and the Iranian response triggered a wave of global risk aversion.
Bitcoin (#BTC ) traded at $99,636.89 on June 22, down 3.8% over 24 hours. The global cryptocurrency market responded quickly to escalating geopolitical risks and weak technical conditions. Amid this decline, Bitcoin's market capitalization reached $1.98 trillion, recording a daily decline of 3.45%.
At the same time, its 24-hour trading volume increased by 17.56% to $52.24 billion, showing a rise in panic activity. The market capitalization ratio rose to 2.52%, indicating significant selling pressure.
This sharp decline resulted from multiple interconnected factors. The U.S. airstrike on the Iranian Fordow nuclear site led to massive liquidations, causing a loss of over a billion dollars from long-term leveraged long positions.
In response, Iran closed the Strait of Hormuz, leading to a sharp rise in global oil prices. As a result, risk appetite in the markets declined, pushing the price of Bitcoin down. ETF flows also decreased, slowing to just 3,300 Bitcoin per day from a peak of 9,700, further weakening institutional enthusiasm.
Will the price of Bitcoin rebound?
Technically, the price #البيتكوين failed to hold the key psychological level at $100,000. Current support appears near $97,000, with a clear concentration of order book liquidity there. If bearish speculators break this level, the next potential downside target could be in the $93,000-$94,000 range, although the probability remains limited at 25%.
Meanwhile, resistance looms at $102,000 and $106,000. A recovery above the $106,000 level could shift short-term momentum in favor of bullish speculators. Indicators suggest further downside pressure. The Relative Strength Index stands at 35.55, low below the neutral level, indicating increasing bearish momentum.
The moving average of the Relative Strength Index, currently at 50.40, is expanding the divergence, confirming a loss of buying power. A continued decline below 30 may indicate an oversold condition, although it has not yet appeared.
At the same time, the Chaikin Money Flow (CMF) hovers just below zero at -0.01, reflecting weak capital flows. This reading is often accompanied by price instability and declining investor confidence. Furthermore, the moving averages have not crossed positively.
Despite the dominance of macroeconomic uncertainty, some traders expect a Bitcoin rebound, as it has made gains from time to time due to geopolitical disruptions. However, until stability returns or trading volume shifts upward, downside risks will remain. Analysts are closely monitoring the $97,000 level as a potential reversal area, but attention is also directed towards the broader escalation between the United States and Iran, which may redraw the path of cryptocurrencies in the short term.
