- Bitcoin fell below 100,000 following US strikes on Iran nuclear sites
- Ether slid roughly 10% to about 2,157
- More than 1 billion dollars in crypto positions were liquidated
Over the weekend trading session, bitcoin slipped below the $100,000 threshold for the first time since May, sparking renewed scrutiny across digital-asset markets. As of 17:15 p.m. in New York, the leading crypto token fell as much as 3 percent to $99,454, while Ether collapsed roughly 10 percent to near $2,157. Fresh geopolitical tensions drove traders into safe-haven assets, and the resulting volatility underscored the fragile interplay between on-chain liquidity and off-chain events affecting bitcoin and broader cryptocurrency sentiment.
Bitcoin Price Slide Below Six Figures
The breach of the six-figure mark for bitcoin marked a significant technical event. After topping $115,000 earlier in the month, the coin plunged past $100,000 during weekend hours, touching $99,454 at its low point. This level had not been seen since May, when a combination of regulatory pressure and profit-taking first pushed prices below the milestone. In less than 24 hours, bitcoin lost more than $3,500 of its value, erasing gains from earlier in the week. Traders who entered leveraged long positions around $105,000 were forced to adjust or exit positions as the market momentum turned sharply negative for bitcoin.
Risk Aversion Triggers Market Selloff
Risk-off sentiment swept the crypto complex as headlines emerged of US bombers striking Iran’s primary nuclear sites. Long-only funds and retail participants moved rapidly to reduce exposure, with bitcoin leading the decline. Liquidity providers reported a surge in sell orders, amplifying downward pressure on prices. Trading desks observed a spike in bid-ask spreads across major spot venues, reflecting market makers’ caution. As traditional equity markets took cover ahead of Monday’s open, the digital-asset realm mirrored that shift, driving bitcoin deeper into a correction phase.
Ether Decline and Correlation Patterns
Ether, the second-largest token by market capitalization, underperformed bitcoin during the event-driven selloff. It slid roughly 10 percent to about $2,157, marking its lowest intraday level since May 8. Historically, ether has shown both independent and correlated moves relative to bitcoin, but in this instance, the altcoin’s heavier drop suggested sharper risk-sensitivity among derivative-based traders. The widening performance gap highlighted differing liquidity depths: while bitcoin maintained narrower spreads, ether pools saw larger slippage as participants rushed to unwind volatile positions in both tokens.
Impact of US Bombers on Investor Sentiment
The announcement that President Donald Trump had ordered attacks on Fordow, Natanz, and Isfahan—three key nuclear facilities in Iran—triggered widespread alarm. Trump described the mission as dropping a “payload of BOMBS” on Fordow, the site known for uranium enrichment linked to weapons-grade activity. That phrase alone sent shockwaves, prompting traders to question broader geopolitical escalation. Investor inquiries flooded broker desks, with many seeking clarity on how military actions might ripple through oil markets and, by extension, digital assets like bitcoin whose price often reacts to macroeconomic shocks.
Bitcoin Liquidity and Derivatives Liquidations
Market data compiled by Coinglass revealed more than $1 billion in crypto bet liquidations over the past 24 hours, with approximately $915 million in long positions and $109 million in shorts forcibly closed. These forced exits concentrated around major derivatives venues, where funding rates and margin calls accelerated unwinding of leveraged bitcoin trades. The volume of liquidations underscored the fragility of on-chain liquidity during sudden spikes in order flow. As margin calls proliferated, some smaller retail accounts faced complete balance wipes, reinforcing caution among bitcoin holders and speculators alike.
Analysis of Professional Traders Response
“Markets are nervously eying ongoing geopolitical developments,” noted Caroline Mauron, co-founder of Orbit Markets, a liquidity provider for crypto derivatives. Her team tracked a pronounced shift from directional bets into volatility hedges as institutional desks recalibrated exposure to bitcoin futures. Meanwhile, Cosmo Jiang, general partner at Pantera Capital Management, observed that “the overhang of whether the US would strike Iran caused a selloff through the week and into the weekend.” Professional traders adjusted short-term targets, with many setting alerts near $95,000 for potential bounce entries in bitcoin, anticipating mean-reversion once tension subsided.
Forecasting Bitcoin Recovery Scenarios
Looking ahead, BTC could find support if diplomatic channels defuse military risks or if oil prices stabilize when traditional markets resume. Caroline Mauron expects oil to be a focal point on Monday, given its historical correlation with risk sentiment. Should crude benchmarks retreat from recent highs, capital might flow back into crypto, triggering a relief rally for bitcoin. Conversely, any further military escalation would likely extend selling pressure. Technical analysts are watching the 200-hour moving average around $94,000 as a critical level; a hold there could signal buyers stepping in to protect this long-term trend for bitcoin.
Regulatory and Geopolitical Uncertainty Effects
Beyond immediate price swings, the incident underscores how geopolitical uncertainty shapes regulatory approaches to digital assets. Policymakers in major jurisdictions may cite such market reactions when debating stablecoin frameworks or exchange oversight. Heightened scrutiny often follows episodes where BTC and other tokens become proxies for risk tolerance, prompting calls for tougher compliance standards. At the same time, some argue that decentralized finance products, by design, offer diversification benefits precisely in moments of cross-asset stress, further complicating the regulatory narrative around bitcoin’s role in financial markets.
Conclusion
The weekend selloff served as a reminder that bitcoin’s trajectory remains intertwined with global events far beyond blockchain fundamentals. A tumble below $100,000 for the first time since May and a $1 billion wave of liquidations laid bare the markets’ sensitivity to sudden geopolitical developments. As traders assess oil price movements and monitor political developments in Iran, the path to recovery for bitcoin will hinge on a delicate balance between external risk factors and inherent on-chain liquidity. Market participants remain on high alert, prepared to pivot as quickly as headlines shift.
Disclaimer
The information provided in this article is for informational purposes only and should not be considered financial advice. The article does not offer sufficient information to make investment decisions, nor does it constitute an offer, recommendation, or solicitation to buy or sell any financial instrument. The content is opinion of the author and does not reflect any view or suggestion or any kind of advise from CryptoNewsBytes.com. The author declares he does not hold any of the above mentioned tokens or received any incentive from any company.
Featured image created by AI
