The conflict between Israel and Iran has strongly impacted the cryptocurrency market, especially Bitcoin. Here are some important points on how Bitcoin has been affected.
- *Price Drop*:
The price of Bitcoin dropped significantly after Israel's attacks on Iran. At one point, the price fell to $103,053, a decline of 2.8% in just 90 minutes. However, the price recovered slightly and stabilized around $104,000.
- *Mass Liquidations*:
The conflict led to massive liquidations in the cryptocurrency market. Over $427 million in long positions were liquidated within 24 hours, and the total liquidation value in cryptocurrency markets exceeded $1 billion.
- *Bitcoin Dominance*:
Despite the drop in Bitcoin's price, its dominance in the cryptocurrency market increased. Bitcoin's dominance rose from 63.8% to 64.7%, indicating that investors are exiting altcoins faster than Bitcoin.
- *Outlook for the Future*:
Some analysts believe that Bitcoin may recover and even reach new all-time highs. However, others warn that the conflict may lead to greater volatility in the market and that investors should be prepared for potential losses.
- *Comparison with Other Assets*:
Bitcoin behaved differently compared to other safe-haven assets, such as gold. While gold rose by 1.44% during the conflict, Bitcoin fell. This raises doubts about Bitcoin's status as a store of value in times of geopolitical crisis.
It is important to note that the cryptocurrency market is highly volatile and can be influenced by a variety of factors, including geopolitical, economic, and technical events. Therefore, it is essential that investors conduct their own research and make informed decisions.
