Bitcoin Falls as US-Iran Tensions Rise

Crypto Market Under Pressure From US-Iran Tensions

The cryptocurrency market started the week on a weaker note as uncertainty surrounding negotiations between the United States and Iran continued to weigh on investors' appetite for risk. Bitcoin, Ethereum, and XRP all moved lower, while Dogecoin managed to post a modest gain despite the broader market decline.

At the time the data was aecorded, Bitcoin was trading at around $63,976, down 1.56%. Ethereum fell 2.13% to approximately $1,874, while XRP declined 1.89% to $1.01. Solana also dropped 1.01% to $75.86. Dogecoin, however, gained about 0.33% to reach $0.0699.

 Selling Pressure Intensifies Across Crypto

Bitcoin faced significant selling pressure over the past 24 hours, with its trading volume increasing by roughly 56%. The surge in activity pushed BTC toward the $63,000 area.

Ethereum also experienced a sharp increase in trading activity, with its volume rising approximately 70%. The second-largest cryptocurrency briefly slipped below the $1,900 level.

 More Than $200 Million in Crypto Positions Liquidated

According to Coinglass data, more than $200 million worth of cryptocurrency positions were liquidated over the past 24 hours. Most of the liquidations involved long positions, reflecting the impact of the sudden decline on traders who were betting on further price gains.

Bitcoin's open interest also fell by around 0.40% during the same period, coinciding with the decline in its spot price.

However, data from Binance suggests that some retail traders and whales increased their Bitcoin long exposure following the price drop.

Top Crypto Gainers Over 24 Hours

Among cryptocurrencies with a market capitalization above $100 million, several projects managed to move higher despite the broader market weakness:

• Cysic: Up approximately 32.25%, trading at $1.32
• Nexus: Up approximately 19.75%, trading at $0.000001717
• Ribbita by Virtuals: Up approximately 14.86%, trading at $0.1362

Overall, the global cryptocurrency market capitalization stood at approximately $2.18 trillion after falling 1.35% over the previous 24 hours.

 Stock Market Also Hit by Iran Uncertainty

The selling pressure was not limited to cryptocurrencies. Major US stock indexes also opened the week lower amid continued uncertainty surrounding Iran.

The Dow Jones Industrial Average fell 60.95 points, or 0.11%, to close at 53,975.98. The S&P 500 slipped 0.06% to finish at 7,753.11, while the Nasdaq Composite declined 0.32% to settle at 26,605.36.

 Uncertainty Surrounds Tehran-Washington Negotiations

Amid the ongoing tensions, reports emerged concerning Iran's position on negotiations with the United States. According to reports, Iranian President Masoud Pezeshkian called for an agreement with the US concerning the Strait of Hormuz and said that the war would ultimately have to come to an end.

At the same time, claims circulated on social media suggesting that Tehran had completely rejected negotiations with President Donald Trump and intended to wait until the end of his term in 2029. However, there has been no official confirmation of those claims from Tehran.

Could Bitcoin Return to an Uptrend?

Despite the recent selling pressure, some on-chain data is providing signs of increased activity among large Bitcoin holders.

Blockchain research firm Santiment reported that the number of wallets holding at least 10,000 Bitcoin has reached a six-month high. According to the firm's data, the number of these wallets has increased by approximately 7% over the past two months.

Large Bitcoin Holders Increase Their Presence

Santiment said that smaller holders are losing part of their share of the Bitcoin supply, while larger wallets are becoming increasingly dominant.

According to the firm, the movement of Bitcoin supply toward larger investors can occur ahead of a major market fluctuation. In some market cycles, this type of accumulation has been associated with an increased probability of an upward move.

Santiment's data shows that around 90 wallets now hold at least 10,000 BTC, with the number of such wallets increasing by six over the past eight weeks.

CryptoQuant Warns of Greater Downside Risk

CryptoQuant has offered a more cautious assessment. The on-chain analytics firm believes Bitcoin could be approaching a stage where the market begins forming a significant top.

According to CryptoQuant, downside risks are increasing as Bitcoin prices move higher. The firm also believes the chances of a sustainable breakout leading to a stable uptrend remain relatively limited under current market conditions.

Analysts Watch the $51,000 Level

Given the elevated risks and weaker market data, CryptoQuant has advised caution with large purchases for now.

The firm identified the area around $51,000 as a potentially more attractive level for stronger cyclical entries.

Bitcoin's Short-Term Outlook

Overall, Bitcoin is currently facing two contrasting signals. On one side, the growing number of large wallets could point to accumulation by major investors. On the other, rising selling pressure and warnings from on-chain analysts suggest that further volatility and a potential correction remain possible.

Until there is greater clarity surrounding the geopolitical situation and US-Iran negotiations, traders' risk appetite may remain limited, leaving Bitcoin vulnerable to significant short-term price swings.