Bitcoin drops 4.1% below 104,000 USD after strikes in Tehran, gold surges as investors seek safe-haven assets.
The cryptocurrency market witnessed a volatile trading session when Bitcoin sharply declined to its daily low of 103,362 USD on Wednesday, following news of strikes in Tehran that shifted investor sentiment towards risk avoidance. The largest cryptocurrency by market capital lost 4.1% in the latest trading session, reflecting increased investor caution amid escalating tensions in the Middle East.
Bitcoin's decline occurred alongside a strong shift of investment capital towards traditional safe-haven assets. Gold surged to 3,410 USD/ounce, recording a 0.6% increase within just one hour after the strike news was announced. The precious metal's upward momentum was further supported by the weakening USD and concerns about potential geopolitical conflict expansion.
Derivative contract liquidations surge
Selling pressure spread across the cryptocurrency ecosystem, with total derivative contract liquidations reaching 920 million USD for the day. Of this amount, 875 million USD were long positions, indicating many investors were forced to close their long positions due to margin calls as Bitcoin sharply declined.
