Key Takeaways
- Bitcoin dropped below $104,000 following President Trump's remarks targeting Iran’s leader.
- Market sentiment fell, with the Fear and Greed Index dropping 16 points to Neutral.
- Analysts are divided on whether Bitcoin can hold above $100,000 amid geopolitical tensions.
Bitcoin and broader markets slid after US President Donald Trump made remarks targeting Iran’s supreme leader, Ayatollah Ali Khamenei.
On Tuesday, Trump posted on Truth Social:
“We know exactly where the so-called ‘Supreme Leader’ is hiding. He is an easy target, but is safe there — We are not going to take him out (kill!), at least not for now.”
He added, “Our patience is wearing thin,” and called for Iran’s “unconditional surrender.”
Market impact and price movements
The comments came amid heightened tensions between Iran and Israel, including recent Israeli airstrikes on Iran and retaliatory drone and missile strikes.
Following Trump’s post, Bitcoin price dipped from $104,310 to $103,553 within the hour, before rebounding to $105,450.
The Bitcoin Fear and Greed Index fell 16 points to 52, shifting from “Greed” to “Neutral” for the first time in 11 days.
Analyst perspectives on bitcoin support
Market analysts are split on whether Bitcoin will hold above the $100,000 level. Doctor Profit predicted:
“Bitcoin will drop below $100,000 in the coming days.”
He expects a possible decline to $93,000, along with a 7-10% drop in the S&P 500.
In contrast, trader Jelle noted Bitcoin’s consolidation above $100,000 could set up a stronger trend:
“Once again, much more sustainable than a rapid climb without any structure being built.”
Bitfinex analysts stated that Bitcoin must hold above $102,000 to maintain its potential for a rebound.
