Bitcoin slips below $104K as liquidations exceed $1 billion amid the Israel-Iran conflict. Is BTC set to retest $100K?
Israel’s strike on Iran created shockwaves in the crisis-ridden crypto industry. Risk appetite just ceased to exist, triggering a total liquidation auction estimated at more than $1 billion across many crypto exchanges. The extra rush of the digital gold stopped completely, replaced by the chill wind of an escalated armed conflict.
Bitcoin, wobbling perilously near the psychological $100,000 mark, bleeds value, trading even below $104,000 after an intraday loss of 1%. Could this merely be a stumble in the way or the onset of a plunge straight into six figures?
Bitcoin Price Analysis
The bullish march of Bitcoin needed a breather. Having tested a resolute $110,266 resistance, we came down from there on the 4-hour chart with a pullback of 5% in merely three days. The latest candle’s close below the 200-period EMA at $104,557 points to change, with Bitcoin now clinging to a critical local support trendline. Will it hold, or is this just a warm-up for a deeper correction?
Bitcoin Price Chart
Bitcoin is standing on the brink of a cliff. Recent candles have spoken of dropping defenses, failing to hold the price above the important trendline. The bulls are losing their grip. In an ugly down move, $101,763 beckons, with $100,000-earned-from-an-impression panic attacks set to stamp the ground. Is this just a temporary setback, or the beginning of a more profound crash?
Fear grips the market as bears try to swarm in. MACD has already gone fully into the red, and the signal line irresistibly follows. The daily chart already screams bearish, with a stark histogram painting a darker crimson canvas of increasing selling pressure. Momentum has turned negative with a thunderous sound, almost ready for the breaking of the trendline. Get ready for the near-free fall.
But keep your eyes peeled! Perhaps a bullish Morning Star is forming up near this critical support level. If put into full bloom, we could watch a mighty reversal that shoots the price towards $106,402, the 100 EMA.
Bitcoin Derivatives
Bitcoin derivative pulse is waning. Open interest, an important measurement of market participation, has dropped by some 4.18% to a level of $69.81 billion, suggesting that traders may be pulling back. On the deserted shore of bullishness, the ferry from an OI-weighted funding rate high of 0.0082% on June 12 has docked to a minuscule 0.0019% – barely a whisper of its former self, marking a change in market sentiment.
The now defunct $422 million-long squeeze far outweighed the mere $21 million short positions that vanished. This mayhem does not stop there: a market-wide bloodbath has liquidated above $1.15 billion throughout the entire crypto universe.
As a result, the long-to-short ratio has fallen to 0.9223, indicating a bearish tilt in open positions.
Bitcoin Derivatives
Bitcoin ETFs
While the tremors in the Middle East turned the markets upside down, Bitcoin ETFs in the U.S. somehow turned defiantly green. Going against the flow of volatility, the investment vehicles laughed all the way to the bank with $86.31 million added on June 12th. This then becomes a troika-worthy winner for four days, signaling a strong will of investors to bet on Bitcoin’s long-term prospects.
So far this week, total net inflows have reached $1.07 billion, supporting the case for a continued long-term uptrend.
Bitcoin ETFs
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