Crypto Market Takes a Hit Amid Middle East Tensions
On Friday, June 13, the cryptocurrency market experienced a significant downturn due to escalating geopolitical tensions in the Middle east. The total market cap fell by 7% to $3.3 trillion.
Bitcoinâs price dropped by 5%, settling at $103,464. Ethereum saw a steeper decline of 10%, trading at $2,471. Solana, XRP, and BNB also suffered losses, with Solana dropping 11% to $141.
CoinGlass data reveals that crypto liquidations spiked by 125%,totaling $1.2 billion in a single day. The relative strength index fell to 28, signaling an oversold market.
Despite the selloff, the Crypto Fear & Greed index remained in the âGreedâ zone at 61, down from the previous day. This drop reflects investor uncertainty as they assess the risk of a broader conflict.
The market turmoil was triggered by Israelâs early morning attack on Iran. Israeli forces targeted uranium enrichment facilities and other high-value sites. Iran has vowed a âharsh response.â
Traditional markets also felt the impact. U.S. stock futures fell 1.5%, and European markets opened lower. Safe-haven assets like gold and Treasury yields saw slight increases.
With tensions rising, both crypto and global markets may face continued volatility. Investors may shift towards safer assets until the situation stabilizes.
