#IsraelIranConflict
That drop also found support at the 50-day SMA, with BTC hitting a low just around $60,500. What followed was a sharp reversal: Bitcoin rose more than 80% by December, reaching a peak of around $108,365.
A study by Andre Dragosch, head of research for the ETP division at Bitwise, ETC Group, shows that while Bitcoin often experiences a short-term price drop during periods of geopolitical tension or conflict, it consistently recovers.
On average, BTC recovers within 50 days and, in most cases, surpasses its pre-event price levels, highlighting the asset's resilience in the face of global uncertainty.
The current correction could turn out to be another brief pause in Bitcoin's broader uptrend, especially following recent positive updates.
This includes the growing odds of interest rate cuts by the Federal Reserve and the easing of trade tensions between the U.S. and China.
On-chain data confirms renewed whale accumulation, suggesting that large investors are buying during price weakness.
Bitcoin is gearing up for a price explosion due to 'liquidity capture'
Market analyst Merlijn The Trader points out a separate fractal that is developing, driven by 'liquidity captures' by traders.
His side-by-side chart comparison shows signs of BTC breaking above a downward trend line and the resistance of the 'range high', just as it did before its surge beyond $100,000 following the Israel-Iran conflict at the end of 2024.
