Bitcoin slipped below $76,500 on Tuesday morning, down about 1.5% from an intraday high of $77,700 recorded on Monday.
The pullback came after reports that the United States had resumed strikes in southern Iran, targeting missile sites and boats attempting to lay mines.
The operations were described by US Central Command as measures taken “to protect our troops from threats posed by Iranian forces,” while the military said it was “using restraint during the ongoing ceasefire.”
Deal or No Deal?
Only hours earlier, President Trump posted on Truth Social that negotiations with Iran were “proceeding nicely.”
“It will only be a Great Deal for all or no Deal at all — Back to the Battlefront and shooting, but bigger and stronger than ever before — And nobody wants that!”
Over the weekend Trump had said a deal was “largely negotiated,” raising hopes it might be finalized this week.
As the conflict resumed, crude oil — which had fallen below $90 for the first time this month on Monday — advanced roughly 2%.
Jeff Mei, chief operations officer at the BTSE exchange, remained cautiously optimistic. He said that if US strikes on Iran are limited, Bitcoin is unlikely to fall much below the $70,000 level.
“However, if the conflict proves sustained, Bitcoin could retreat toward the roughly $60,000 floor seen at the start of the crisis,” Mei added.
Jeff Ko, chief analyst at CoinEx, echoed that view, telling CryptoPotato that $70,000 continues to act as the “next defended floor” for Bitcoin, while $65,000 would be the “next key stress level” should macroeconomic or geopolitical conditions worsen.
“That said, Bitcoin’s ability to absorb recent macro shocks has been constructive,” Ko noted. “The asset has not broken down despite the geopolitical uncertainty, which suggests the market is consolidating rather than entering a full risk-off phase.”
Is BTC About to Fall Further?
Macro trader Jason Pizzino expressed a more bearish outlook on X, writing that Bitcoin appears poised to test prior lows again, as it tends to do in prolonged down cycles.
“Falling volume, lack of social interest, and a structure reminiscent of further weakness,” he wrote, suggesting the technical and sentiment backdrop points to increased downside risk.
Bitcoin looks to be getting ready to test the lows again like it does every bear market (or 4-year cycle).
Falling volume, lack of social interest (search volume), and a structure reminiscent of further weakness.
The perma bears will be calling lower and lower prices, while the…
At the time of writing, BTC was trading near $76,480, with the potential for additional losses if geopolitical tensions escalate or market sentiment deteriorates further.