In a dramatic turn of events, Bitcoin’s (BTC) price plunged to $100,837 following a sharp escalation in Middle Eastern tensions. Despite recent statements by Donald Trump and JD Vance suggesting de-escalation, the U.S. officially entered the conflict. A barrage of missiles—reportedly as powerful as tactical nuclear warheads—struck three Iranian facilities, triggering widespread panic in the markets.
Altcoins, already weakened by months of bearish sentiment, initiated another wave of losses. Many are now approaching all-time lows (ATL) against BTC, fueling speculation that a deeper bottom could be imminent. The central question for investors is simple yet pressing: what’s next for crypto?
Inevitable Fallout or Rebound Opportunity?
Shortly after the U.S. attack, Iran launched around 30 missiles toward Israel in a limited retaliatory strike. While the aggression hasn’t extended to U.S. bases, Iranian media has issued chilling threats, signaling preparation for massive retaliation. The potential for a broader military conflict—especially involving nuclear-capable nations like the U.S. and Israel—has raised alarms about the onset of a third world war.
However, analysts suggest a narrow window for diplomacy may have opened. With key Iranian facilities already targeted, some believe Tehran could be more inclined to engage in negotiations. If diplomatic channels gain traction, a temporary market recovery could follow, offering a glimmer of hope to crypto investors.
Volatility Will Dominate the Short Term
According to well-known analyst DaanCrypto, short-term volatility is all but guaranteed:
“There’s a lot going on in the world right now… The key is whether the conflict escalates or sides shift toward negotiations. Bitcoin is holding relatively well, but caution is still warranted. Watch for clearer signs before taking new positions.”
DaanCrypto also warned that while minor recoveries in altcoins are possible due to oversold conditions, most tokens remain firmly in a downtrend. For now, patience and discipline may be the only safe strategy.
Ethereum in the Danger Zone
Ethereum (ETH) was on track to reach $3,000 just days ago after a promising bilateral agreement between China and France. But that optimism quickly evaporated as missile strikes changed the narrative. ETH dropped below $2,300, entering a high-risk zone devoid of recent support levels.
DaanCrypto explains:
“ETH is now trading below previous support levels, in a dangerous area with limited historical price action. A drop below $2,210 could trigger cascading liquidations. Bulls need to reclaim and hold above $2,300 fast.”
Bearish Momentum Intensifies
While BTC has weathered the storm better than most, popular trader Carl Mood sees further downside:
“BTC is on the verge of breaking down from a symmetrical triangle. My target is $90,700. If that happens, expect another 30% drop across altcoins.”
If this scenario plays out, already fragile investor sentiment could deteriorate rapidly, pushing many projects into deeper crisis territory.
Conclusion: Tread Carefully as Uncertainty Peaks
The next 48 hours will be pivotal. If further escalation occurs, crypto markets could face historic levels of volatility. On the flip side, any signs of diplomatic progress may offer short-lived relief rallies. For now, traders are advised to monitor macro headlines closely and manage risk conservatively.
As always, readers should remember that this article on Dey There is for informational purposes only and does not constitute financial advice. Consult a certified financial advisor before making investment decisions.
References:
Reuters. (2025). U.S. strikes Iranian facilities amid rising tensions.
CoinDesk. (2025). Bitcoin dips below $101K as global conflict intensifies.
DaanCrypto (via X).
Bloomberg. (2025). Ethereum enters bearish territory following missile attacks.