Bitcoin has experienced a sharp and sudden downturn. After briefly touching above 103000 dollars, the price plunged to around 99500 dollars, marking a drop of over 3 percent within hours. This fall comes amid increasing geopolitical tension in the Middle East and a wave of forced liquidations across crypto markets.
What Triggered the Fall
The drop followed the U.S. airstrike on Iranian nuclear sites, which created a risk-off environment across global markets. Crypto markets reacted violently, with more than 595 million dollars in long positions liquidated. Of that total, Bitcoin alone accounted for over 150 million dollars in liquidations.
The selloff intensified as Bitcoin broke through key technical support levels at 106000 and 105000. Automated liquidations were triggered, leading to a cascade of losses and pulling prices down toward the 100000 range.
Key Data and Indicators
Over 450 million dollars in liquidations occurred in a single session as Bitcoin fell below 103000. Across the entire crypto market, more than 1 billion dollars in leveraged positions were wiped out during the worst trading day of the month.
The RSI (Relative Strength Index) has moved into oversold territory, suggesting that a short-term technical bounce may be possible. However, if selling pressure continues, traders are watching the 95000 to 98000 range as potential support zones.
Broader Market Context
The crypto market is showing growing correlation with traditional risk assets. Stock indices such as the S&P 500 also posted losses on the same day, amplifying fear-driven selling across both sectors.
Major altcoins including Ethereum, Solana, XRP, and Dogecoin followed Bitcoin’s path. Ethereum faced the second-highest liquidations, with losses exceeding 280 million dollars. The downturn has exposed the fragility of overleveraged positions in the crypto space.
Strategic Outlook
This correction highlights how macro events can trigger sudden volatility in digital assets. The combination of global uncertainty, key technical breakdowns, and leveraged trading has created a perfect storm for price drops.
Analysts note that the psychological threshold of 100000 will be important. If that level holds, it could signal a base for recovery. However, if it fails, the next support zone sits near 95000. On the upside, any recovery will face resistance near the 105000 level.
For long-term investors, current prices may represent a buying opportunity if market fundamentals remain intact. However, caution is advised as geopolitical risks remain elevated and market sentiment is fragile.
