Key Takeaways:
- Bitcoin fell to a session low of $72,642 on Thursday morning, threatening to close May with a monthly loss.
- Volatile price swings triggered $921 million in total digital asset market liquidations, hammering longs.
- Wall Street’s muted reaction to subsequent U.S.-Iran peace updates suggests growing investor ambivalence.
Bitcoin Flirts with Monthly Loss as Key Support Tested
Bitcoin edged closer Thursday morning to capping the month of May with overall losses after tumbling to a session low of $72,642. The slide occurred less than 12 hours after the cryptocurrency plummeted to an intraday low of $72,622 just after midnight. This downward momentum extends a weeklong retreat, with bitcoin shedding roughly $5,000 since hitting a peak of $78,000 on May 25.
Market data show that shortly after dropping below $72,700, bitcoin quickly reclaimed $73,000 but ultimately lost momentum before reaching $73,500. Several attempts to test this level failed, with the cryptocurrency losing steam below or just over $73,400. However, around 9 a.m. EDT, another sell-off saw bitcoin plunge from $73,432 to $72,669. It remained stuck below $73,000 until a swift recovery after midday propelled it past the $73,000 mark again.
At the time of writing at 1:22 p.m. EDT, bitcoin was trading just above $73,350, narrowing its 24-hour losses to 2.3%. The slide pushed its weekly losses to 5% and its 30-day losses to just under 4%. The price action left its market capitalization virtually unchanged from its early morning level of around $1.46 trillion.
As noted in an earlier report, geopolitical friction drove the initial sell-off, with bitcoin reacting sharply to reports of renewed military strikes between U.S. and Iranian forces. While official negotiators downplayed the incident, the escalation dented market confidence in a swift diplomatic breakthrough. Instead, it fueled concerns that both sides are maintaining a public facade of diplomacy while preparing for conflict.
This skepticism was mirrored in Wall Street’s muted reaction to later headlines suggesting a deal had been struck—a sign that investors are becoming increasingly desensitized to shifting Middle East negotiation updates.
Meanwhile, bitcoin’s volatile price action triggered $352 million in leveraged liquidations—a minor $14 million decline from the flush recorded when the asset first dipped below $73,000 earlier in the day. Mirroring that earlier rout, long positions bore the brunt of the damage, accounting for roughly $333 million of the total. Across the broader digital asset market, total liquidations surged to $921 million, with long bets making up $835 million of the casualties.
US-Iran Escalation Pushes Bitcoin to $72,622 as $870M Long Bets Collapse
Following the news, bitcoin fell 3.6% to a multi-week low of $72,622 before stabilizing just above $73,000. The sudden volatility…
US-Iran Escalation Pushes Bitcoin to $72,622 as $870M Long Bets Collapse
Following the news, bitcoin fell 3.6% to a multi-week low of $72,622 before stabilizing just above $73,000. The sudden volatility…
US-Iran Escalation Pushes Bitcoin to $72,622 as $870M Long Bets Collapse
Following the news, bitcoin fell 3.6% to a multi-week low of $72,622 before stabilizing just above $73,000. The sudden volatility…
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