Bitcoin Holds Above $105,000 Despite Geopolitical Tensions and Market Volatility

Bitcoin has maintained its position above $105,000 as the new week begins, despite escalating fears of a broader conflict between Israel and Iran. Traders are exercising caution, with many opting to protect their positions by purchasing more BTC puts, which now cost more than calls, indicating increased apprehension about a potential market downturn.

Over $1 billion in long positions have been liquidated recently, including a substantial $200 million loss on a major exchange. Despite this, Bitcoin has remained stable, bolstered by strong institutional buying. Ethereum is also demonstrating strength, up 2% and trading around $2,550, finding support near $2,510 and experiencing institutional inflows as well.

According to on-chain data from Glassnode, Bitcoin’s current cycle gain is 656%. While this is lower than past bull runs, over 1,000% in 2015–2018 and 2018–2022, it’s still impressive, especially considering Bitcoin’s market cap is much larger now. This suggests that demand remains robust, even if short-term volatility is causing concern. Although the Bitcoin price is still below the last all-time high of $112,000, demand has not waned, though there is a slight caution in the market at present.

Amid rising geopolitical tensions and market uncertainty, several positive developments have helped stabilize Bitcoin’s price this week. Michael Saylor’s advisory role in Pakistan’s crypto policy has sparked optimism, as the country looks to create its own Bitcoin reserve and launch a national crypto council, boosting confidence, especially in Asia.

At the same time, Galaxy Research has cooled fears over Bitcoin’s OP_Return spam concerns, with Alex Thorn calling the panic exaggerated and instead pushing focus toward meaningful upgrades like CheckTemplateVerify. Adding to the positive momentum, Bybit announced its new decentralized exchange, Byreal, built on Solana, highlighting growing innovation in the DeFi space. Together, these updates have helped support Bitcoin’s stability despite global war fears.

Gold is also rising, hitting $3,447 as investors seek safety. Japan’s Nikkei 225 stock index climbed 0.87%, showing mixed global reactions. Overall, the crypto market is showing resilience. With institutional support for Bitcoin, fresh government interest from Pakistan, and new DeFi projects like Byreal, the space is holding up well despite global uncertainty.

Bitcoin's price has been fluctuating around the $105,000 mark, with recent developments sparking both optimism and uncertainty. The cryptocurrency's price action has been volatile, with a significant amount of liquidation activity occurring in the market. On June 13, 2025, BlackRock acquired $239 million worth of Bitcoin, pushing the company’s total Bitcoin exposure to new highs. This acquisition coincided with a sharp rise in Bitcoin ETF activity, with BlackRock’s iShares Bitcoin Trust (IBIT) recording a 5.7% increase in trading volume, surpassing 1.2 million shares. The total weekly net inflows into U.S. Bitcoin spot ETFs reached $970 million, with IBIT accounting for more than $900 million. On Thursday alone, IBIT added 2,681 BTC and registered a daily trading volume of $2.2 billion. IBIT’s assets under management have grown from $70 billion to $73 billion, despite recent market volatility. It currently holds 666,842 BTC. While IBIT saw strong inflows, other ETFs like Fidelity’s FBTC and Bitwise’s BITB also recorded an influx of $25.2 million and $14.9 million, respectively, on Friday.

From April to June 2025, Bitcoin ETF inflows have returned at moderate levels, averaging between $200 million and $500 million per day. Despite occasional outflows, green bars continue to dominate, providing stability to Bitcoin price, which remains in the $100,000–$105,000 range. This follows the January–March 2025 period, where outflows near $1 billion on several days triggered price volatility and a failure to set new highs, likely due to investor de-risking and regulatory concerns. On-chain accumulation data supports the current market structure. Over $3.3 billion in BTC has flowed into wallets classified as accumulation addresses, now holding a combined 2.91 million BTC. These wallets, generally linked to institutions or large holders, have an average entry price of approximately $64,000. The steady accumulation and consistent ETF inflows suggest institutional participants are positioning for long-term exposure, while overall momentum remains neutral with no immediate breakout signal.

The recent liquidation activity has been significant, with alternating waves of long and short liquidations. Early May saw balanced long and short liquidations, reflecting a range-bound market. From May 23 to June 1, green bars increased, indicating long liquidations as bulls used excessive leverage during minor pullbacks. A major spike occurred on June 6, with nearly $300M in short liquidations, triggering a short squeeze. This was followed by $200M in long liquidations on June 10, showing how quickly sentiment flipped. From June 12–13, another $250M in short positions were wiped out as volatility continued. The red and green zones on the chart indicate liquidation clusters. Below $103,377, 50x–100x leveraged long positions face $20M–$50M liquidation risks per tier. Above $105,250, short exposure exceeds $1B, signaling high squeeze potential. This pattern shows a highly leveraged market punishing both bulls and bears, with fast liquidations triggered in both directions.

Bitcoin's price is currently trading near $105,000 on the daily chart, showing a slight pullback from recent highs around $108,000. Several red-bodied candles that have upper wicks show higher level rejection, which implies selling pressure into resistance. Bitcoin price is still above the 102,000-104,000 area, which was a consolidation in the past. Technical indicators show an accumulating negative momentum. The MACD indicates a bearish crossing over, whereby the MACD line is below the signal line and the histogram is negative at -283. That implies losing short-term momentum. The RSI is near 50, which has crossed the downward moving average at 53.71, indicating a slight bearish trend. The RSI is not in the oversold territory yet, and the indicator has more space to move. The sentiment is still affected by external macro uncertainty and geopolitical tension. The chart formation is neutral to bearish without any definite reversal signs. The price is ranging within a specified range, but the momentum indicator has been indicating caution as the strength of the recent bullish trends seems to be dwindling.