Bitcoin Drops 1.5% to $98,500 After US Airstrike on Iran

Bitcoin experienced a notable decline below the $100,000 mark late Sunday, briefly dropping to around $98,500 following a US airstrike on Iranian nuclear facilities. This geopolitical escalation led to a broader market reaction, with risk assets coming under pressure. However, the sub-$100,000 level proved to be short-lived as Bitcoin rebounded during early Monday trading in Asia, recovering to approximately $101,841. This recovery placed Bitcoin near the psychologically significant $100,000 threshold, with a decisive close below this level potentially opening the door to further downside, targeting Sunday’s intraday low of $98,200.

Arthur Hayes, the co-founder of BitMEX, remains optimistic about Bitcoin's long-term potential. He believes that the recent dip is merely a temporary setback and that Bitcoin will soon reaffirm its status as a safe haven asset. Hayes attributes this eventual rebound to continued central bank money printing, which he argues will support Bitcoin’s long-term bullish trajectory. Despite facing repeated resistance near the $110,000 level over the past five weeks, Hayes is confident that Bitcoin will overcome short-term macroeconomic shocks, such as renewed tariff concerns and the ongoing Israel-Iran conflict.

The market remains alert as tensions between the U.S., Iran, and Israel raise broader concerns. Traders are focusing on oil prices, macroeconomic trends, and technical support zones. Analysts note that Bitcoin has rebounded from its short-term realized price of $98,000. It remains above the $102,000 trend support, signaling possible strength unless further escalations occur.

Despite repeated failures to cross the $110,000 resistance in recent weeks, institutional interest has not declined. Market observers confirm strong structural demand from investors. They highlight Bitcoin’s ability to recover quickly as a sign of underlying support. Analysts suggest the market could remain in a consolidation phase through summer if no clear catalysts arise.

Experts tracking ETFs report continued inflows into spot Bitcoin and Ethereum products. Bitcoin ETFs have outpaced gold and the S&P 500 this year. Ethereum funds recorded inflows during 25 of the last 30 trading days. Analysts view this trend as evidence of growing confidence in digital assets. On-chain data further supports the positive outlook. Reports indicate that long-term holders continue to accumulate and avoid selling. Historically, these patterns have appeared ahead of major upward price movements. Traders view this as a sign that the recent volatility may not affect Bitcoin’s long-term trend.

As Bitcoin stabilizes, altcoins are showing signs of renewed strength. Analysts suggest these assets may outperform if global conditions calm and crypto-specific triggers emerge. While risk sentiment remains fragile, market watchers continue to assess technical signals. The next move may depend on how long Bitcoin holds key support and whether broader macro conditions improve.