Bitcoin dropped to its lowest level in more than two weeks as rising geopolitical tensions and weakening investor confidence sparked a broad crypto market sell-off. The world’s largest cryptocurrency fell over 2% during early Monday trading, slipping to nearly $76,500 before recovering slightly. Major altcoins including Ethereum and Solana also registered steep declines.
Nearly $500 Million In Bullish Bets Wiped Out
The sudden downturn caused massive liquidations across the crypto market. According to market data from Coinglass, nearly $500 million worth of bullish crypto positions were erased within minutes during Asian trading hours. Total long liquidations reportedly climbed close to $590 million over the previous 24 hours, highlighting the scale of panic among leveraged traders.
US-Iran Tensions Weigh On Investor Sentiment
Analysts linked the sharp decline to growing fears surrounding the ongoing US-Iran conflict. Investors reduced exposure to risky assets as concerns intensified over global instability and uncertainty in financial markets. Rising oil prices, falling Asian equities, and stronger bond yields further pressured crypto markets during the session.
Bitcoin ETFs Witness Heavy Outflows
Institutional sentiment also weakened significantly. US-listed spot Bitcoin exchange-traded funds reportedly recorded over $1 billion in outflows last week, marking the first major weekly withdrawal since January. The ETF pullback added to concerns that large investors are becoming cautious amid rising market volatility.
Key Technical Levels Under Focus
Market analysts noted that Bitcoin’s fall below the crucial $77,800 support level accelerated selling pressure. Traders are now closely watching the $76,000 to $76,800 range for potential stabilization. Experts suggest that Bitcoin would need to reclaim levels above $80,000 to signal that bearish momentum is easing.
Derivatives Market Signals Growing Bearishness
Options market data also reflected growing pessimism among traders. Bearish positions reportedly increased around the $77,500 mark as investors purchased millions of dollars worth of Bitcoin put options ahead of expiry. Analysts believe the move signals expectations of continued short-term volatility in the crypto market.
