QCP: Middle East Situation Sparks Market Volatility, Bitcoin Market at Key Turning Point

According to QCP, Bitcoin briefly fell below the psychological barrier of $100,000 on Sunday, hitting a low of $98,200, the lowest since breaking $100,000 on May 8. This drop was triggered by Iran's threat to close the Strait of Hormuz, leading to over $1 billion in cryptocurrency market positions being liquidated. However, Bitcoin has returned above $100,000 on Monday morning, indicating that the weekend pullback was mainly driven by macro factors. Despite Iran's threats of retaliation, the market seems to believe that the likelihood of a major escalation of conflict is limited, with the U.S. using diplomatic channels to restrain Iran, which has helped stabilize the market. Traditional markets have also reacted calmly, with U.S. stock futures, oil, and gold prices returning to Friday levels after initial fluctuations, as investors view this as a regional risk rather than a global crisis. Analysts point out that the Bitcoin market is at a key turning point, balancing risk appetite and safe-haven demand amid geopolitical uncertainties.

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