Cryptocurrency Market Dips Amid Geopolitical Tensions: Key Insights
Crypto market declines due to Iran-Israel conflict tension. Bitcoin and Ethereum transactions surge. Discover market trends and trader insights.
The cryptocurrency market experienced a significant pullback on Tuesday morning, driven by escalating geopolitical concerns. This downturn followed a warning from former President Trump regarding the potential for heightened conflict between Iran and Israel.
Among the leading cryptocurrencies, Bitcoin (CRYPTO: BTC) saw its price drop by 0.9% to $105,869.34. Ethereum (CRYPTO: ETH) fell by 2.3% to $2,551.61. Solana (CRYPTO: SOL) experienced a 3.2% decline, bringing its price to $150.97. Other notable cryptocurrencies such as Dogecoin (CRYPTO: DOGE) and Shiba Inu (CRYPTO: SHIB) also faced declines of 2.9% and 3.6%, respectively. Interestingly, XRP (CRYPTO: XRP) was a rare exception, registering a slight gain of 0.1%, bringing its price to $2.21.
In terms of transaction volumes, data from IntoTheBlock revealed a surge in large transactions for both Bitcoin and Ethereum, with increases of 116.4% and 189.5%, respectively. Bitcoin also noted an 18.1% rise in daily active addresses, indicating robust engagement from its user base. Ethereum exchanges saw a dramatic increase in net flows, expanding by an astonishing 4,988.5% in just one day.
Further insights from Coinglass highlighted that 104,900 traders faced liquidations over the last 24 hours, with total liquidations amounting to $354.58 million. This underscores the volatile conditions traders are navigating amid the current geopolitical climate.
On a more positive note, SoSoValue data pointed to net inflows of $412.2 million into spot Bitcoin ETFs, while spot Ethereum ETFs saw net inflows of $21.4 million. These figures suggest a continued interest in cryptocurrency investments despite market volatility.
Crypto analyst Jelle emphasized that while market fluctuations are concerning, they also present opportunities for strategic trading. For more detailed analysis and updates, refer to the full story available on Benzinga.com.