Geopolitical tensions once again took center stage as the U.S. targeted two of Iran’s nuclear facilities, triggering an immediate response from Bitcoin [BTC]. Within hours, BTC dropped 1.17%, falling to $100,979.
However, the story didn’t end with the dip. A $50 million short position was suddenly liquidated, sending Bitcoin sharply back up by nearly 2.4%. Despite the rebound, market structure remains shaky, with two major liquidity zones currently in focus. Buyers are eyeing the $103,500 level as a potential springboard to challenge the key $105,000 resistance.
But while the market seeks stability, global politics remain on edge. Former U.S. President Donald Trump warned of using “much greater force” if Iran retaliates, raising fears of further escalation. In this environment, Bitcoin is moving into a defensive stance.
Notably, the U.S. strike occurred over the weekend—when traditional markets were closed—leaving crypto as the only major asset class exposed to immediate shock. According to data from CoinGlass, over $711 million in leveraged positions were liquidated across the crypto market in a short span.
While this 1.17% drop wasn’t as deep as the 3% plunge earlier this month (which dragged BTC down to $100,424), it was enough to trigger another wave of liquidations around the $100,910 level. Short orders were wiped out, propelling prices back above $102,000—temporarily reinforcing the psychological support at $100,000.
This marks the second time this month that Bitcoin has tested this crucial level. The previous dip led to a near 10% rally, pushing BTC past the $110,000 supply zone. This time, however, momentum is more fragile as traders pull back on risk and rebalance positions near the $100,000 mark.
In the face of rising macro uncertainty, Bitcoin appears likely to trade sideways in a narrow range, awaiting a clearer directional signal. Market sentiment is on edge: funding rates have flipped negative, a sign that short sellers are gaining ground—just as they did during the sharp decline in early June.
BTC is now hovering around $102,400, and the market stands at a crossroads: either heading for another capitulation or gearing up for the next leg of recovery.
