Bitcoin Plummets 10% After Resistance Failure, $400M Liquidated

Bitcoin recently experienced a significant price drop after failing to break through a key resistance level, leading to a sharp decline and triggering liquidations across the market. Over $400 million in long positions were wiped out in a single day, highlighting the market's volatility and investor nervousness.

The recent market turmoil is partly attributed to the escalating conflict between Iran and Israel, with analysts warning that further deterioration could negatively impact global financial markets, including cryptocurrencies. This geopolitical tension has led investors to seek safer assets like gold and the US dollar, resulting in heavy selloffs of riskier assets such as Bitcoin.

Additionally, the Federal Reserve's decision not to cut interest rates during the recent FOMC meeting has dampened market optimism for a quick recovery. This pause in rate cuts has slowed the market's momentum, suggesting that a bull market may take longer to materialize.

Despite the current market uncertainty, there is speculation about Bitcoin's potential to surge to $200,000 or even $250,000 by the end of the year. Jetking, an Indian company that has been accumulating Bitcoin since 2022, predicts that Bitcoin prices could reach between $140,000 and $150,000 by year-end. This optimistic outlook contrasts with the current market sentiment, which remains weak with lower trading volumes.

Bitcoin's short-term price action has been volatile, briefly touching ₹101,000 before attempting a small recovery. However, the overall market sentiment remains weak, and experts are closely monitoring the ₹100,000 support level. This level is crucial as it needs to hold to avoid a deeper correction. Bitcoin is struggling to break past the ₹102,600 resistance zone, and a recovery is possible if it manages to reclaim this level. If the price fails to hold ₹100,000, another drop could follow, potentially with reduced trading volumes.