Bitcoin Reaches $60,000 Amidst Iranian Missile Strike on Israel

On Tuesday afternoon, Bitcoin’s value took a significant hit, dropping to $60,000 in response to reports of Iran’s missile offensive against Israel. 

As of the latest update, BTC was trading at approximately $61,500, marking a decline of roughly 7.5% from its recent peak of $66,500. This sudden downturn has introduced a wave of uncertainty across global financial markets.

The cryptocurrency community, which had been anticipating a bullish trend for the traditionally strong month of October, saw their optimism crushed as both digital assets and traditional stock markets experienced a sharp decline at the opening bell.

The catalyst for this market turbulence was Iran’s extensive missile assault on Israel. Bitcoin Despite a slight recovery to around $61,500 at the time of writing, the ongoing tensions between Israel and Iran continue to cast a shadow of uncertainty over the market.

This exodus from Bitcoin and other cryptocurrencies was primarily triggered by news of escalating hostilities in the Middle East. Iran unleashed a barrage of missiles targeting key Israeli urban centres, including Tel Aviv, following threats of retaliation for recent Israeli operations against Hezbollah forces. Israeli authorities confirmed that all civilians had been directed to seek shelter in bomb shelters as the attacks unfolded.

The gravity of the situation was underscored by reports that US President Joe Biden and Vice President Kamala Harris were convening in the White House Situation Room, mobilising US military assets across the Middle East to bolster Israel’s defence.

Beyond geopolitical concerns, traders were also securing profits ahead of the upcoming Federal Open Market Committee (FOMC) meeting. Data from CoinGlass indicates substantial outflows from major cryptocurrencies including Bitcoin, Ethereum, and Solana, with sellers outnumbering buyers in the current market climate.

This recent downturn in Bitcoin’s value echoes similar declines observed in April and July, when Middle Eastern tensions triggered a sell-off in crypto assets. 

Historically, October has been a robust month for Bitcoin, earning it the moniker “Uptober” due to its consistently positive performance. 

Let’s hope this is the dip to jeet the paper hands, and “Uptober” resumes. 

Despite the tensions, it is worth noting that since pre-2013, Bitcoin just rallied to put in its best September close in over a decade. 

Reading further into Bitcoin’s history will show you that:

80% of Octobers were green. 

100% of election years had a green October, November and December. 

100% of the years with a green September had a green October, November and December. 

September is green and this is an election year. 

Maybe, just maybe this conflict for Bitcoin will be insignificant throughout the rest of Q4.