Bitcoin Price Dips Below $104K After Israeli Strikes on Iran Spark Global Selloff

Bitcoin Iran Market

Crypto Journalist

Amin Ayan

Crypto Journalist

Amin Ayan

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Amin Ayan is a crypto journalist with over four years of experience in the industry. He has contributed to leading publications such as Cryptonews, Investing.com, 99Bitcoins, and 24/7 Wall St. He has...

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Last updated: 

June 12, 2025

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Bitcoin fell sharply late Thursday, sliding over 4% to $103,556 following Israeli airstrikes on Iran that intensified already fragile Middle East tensions.

The drop from a 24-hour high of $108,500 came as investors reacted to the prospect of a broader geopolitical crisis, triggering a retreat from risk assets. The sharp sell-off led to the liquidation of $427 million in long positions in the past 24 hours.

Israeli officials confirmed the airstrikes targeted military infrastructure near Tehran and Tabriz, describing the action as a preemptive measure in response to Iran’s nuclear threat.

Bitcoin Drops as Israel’s Attack on Iran Could Continue for Days

Prime Minister Benjamin Netanyahu called the operation a necessary step to “remove this threat,” adding it would continue “as many days as it takes.”

Iran has yet to issue an official response, but state media reported explosions and airspace closures.

Meanwhile, the U.S. began pulling diplomats from Iraq and offered voluntary evacuations to military families in neighboring countries.

The State Department also issued warnings for American citizens to leave Iraq, citing regional instability.

In Washington, Secretary of State Marco Rubio said Israel acted unilaterally but had informed the U.S. beforehand.

Former Trump advisor Steve Witkoff noted that nuclear negotiations with Iran are still on the table, though risks of escalation remain.

Historically, Bitcoin has shown sensitivity to geopolitical unrest, often falling as traders reduce exposure to volatile assets.

While the crypto asset is seen by some as a long-term hedge, its short-term price often mirrors broader risk sentiment.

Ethereum followed the downward trend, slipping below $2,500, while XRP retreated to $2.10, adding to the market-wide pressure.

Bitcoin Struggles to Hold $104K Amid Tensions

Bitcoin is trading at $103,990 at the time of writing, showing signs of stabilization after a sharp 4% drop triggered by rising geopolitical tensions in the Middle East.

Price briefly dipped below $103,000 following Israeli airstrikes on Iran but has since bounced modestly.

On the 2-hour chart, BTC remains under pressure, with Bollinger Bands widening and price hugging the lower band—a sign of increased volatility and bearish momentum.

The Relative Strength Index (RSI) has dropped to 25.51, deep in oversold territory, indicating potential for a short-term relief bounce. However, MACD values remain heavily negative (-438.59 MACD line), suggesting bearish momentum is still dominant.

Zooming into the 30-minute timeframe, price is struggling to reclaim the $105,000 zone. RSI stands at 32.30, also near oversold levels, while MACD shows downward expansion, further reinforcing downside risk if support fails.

Bollinger Bands on this timeframe show a bearish squeeze breaking to the downside.

The 1-minute chart reflects short-term recovery attempts, with RSI bouncing to 66.49 and MACD crossing bullishly. Still, this minor uptick is not yet confirmed by higher timeframes, suggesting caution is warranted.

Key levels to watch include immediate support at $102,533 and resistance at $105,693.

A close above $105,000 could ease selling pressure, but failure to reclaim it may open the door to further losses toward $100K.

For now, sentiment remains risk-off, and BTC bulls must defend current levels to avoid deeper correction.