Iran seeks to hold bilateral nuclear talks with the United States, causing Bitcoin to briefly fall below $75,000
As market sentiment remains low, the cryptocurrency market experiences another wave of declines. Bitcoin's price suffered a sharp drop in just a few hours overnight, falling below the critical support level of $75,000, briefly touching $73,000.
Reportedly, BTC fell from around $78,000 to below $73,000 in the past few hours. This rapid decline led to approximately $20 million in derivative positions being liquidated across major exchanges, with short positions making up the vast majority.
According to Coingecko data, in the past 24 hours, BTC has dropped by 3.2%, ETH fell by 2.7%, XRP decreased by 1.3%, SOL declined by 4.8%, and ADA fell by 0.3%, with the overall market showing a downward trend.
Analysts believe that the immediate trigger for this market fluctuation is the sudden change in the geopolitical situation in the Middle East. Reports indicate that Iran has proposed changes to the format of nuclear negotiations with the United States, directly causing the talks scheduled for this Friday in Istanbul to hit a deadlock.
Prior to this, countries like Egypt, Qatar, Saudi Arabia, and Oman had been actively promoting the peace talks, but Iran's inclination to seek bilateral meetings has been viewed as potentially undermining diplomatic efforts.
Meanwhile, against the backdrop of the United States increasing its military presence in the Gulf region, the deadlock in negotiations has further heightened the risk of military conflict in the area.
In response to this sudden geopolitical news, traditional safe-haven assets and cryptocurrencies have shown starkly different performances. Gold, as a traditional safe haven, has increased by about 6.15% in the past 24 hours; in contrast, Bitcoin has decreased by nearly 3.2% during the same period.
This clear contrast of "safe-haven assets rising while risk assets fall" vividly outlines the increasingly evident flow of funds driven by risk aversion in the current market. In this context, the cryptocurrency market is unlikely to see a substantial recovery, with weak fluctuations likely becoming the norm.
