The price of Bitcoin fell below $66,500 on Friday, hitting its lowest level in more than two weeks as a wave of long selling and increasing economic pressure on the crypto market.
The data shows that nearly $300 million in long positions were liquidated in the last 24 hours, according to Bitcoin Magazine Pro data, compared to about 50 million dollars in the short finish, which points to a break in the bullish position that pervades crypto futures. The volatility reflects a market that has been highly dependent for a long time and is now correcting as sentiment changes.
The sell-off in the price of bitcoin coincided with a broader move to reduce risk in global markets. Nasdaq 100 futures are down nearly 10% from their January highs, while oil prices are up nearly $100 per barrel amid heightened tensions over the ongoing conflict involving Iran.
Earlier today, Israel said it would escalate strikes on Iran after a renewed wave of Iranian missile attacks, while the two sides continued to exchange fire despite ongoing talks.
President Trump has suspended US strikes on Iran’s energy infrastructure for another 10 days to allow talks, as reports suggest the Pentagon is considering sending up to 10,000 troops to the Middle East.
Meanwhile, conflict is escalating in the region, with shipping disruptions reported in the Strait of Hormuz, Gulf states on alert after the strikes, and Iranian casualties reportedly nearing 2,000 as international talks continue in Europe.
The rise in crude has revived inflation concerns and pressured risk assets, including cryptocurrencies.
Bitcoin price dynamics
The price of Bitcoin briefly approached $71,500 this week on optimism associated with potential developments in Middle East trade. Those gains have been reversed as uncertainty over negotiations resurfaced, driving down prices and reinforcing volatile market conditions.
Despite the recent decrease, the price of bitcoin continues to trade within the defined range between $ 60,000 and $ 75,000 that has held for several weeks, even months. The stock remains well below the October 2025 peak of more than $126,000 following a broad market correction.
The flow of institutions presents a mixed picture. US-listed bitcoin exchanges recorded steady inflows in early March, reaching $2.5 billion in five weeks. That momentum has eased in recent sessions, with net outflows emerging and showing a pause in accumulation as investors respond to heightened uncertainty.
At the same time, on-chain data shows the continued withdrawal of bitcoin from the middle of last month’s trading. This trend suggests that long-term holders are moving assets to protect themselves, a pattern more often associated with accumulation than distribution.
Despite this, Morgan Stanley is a step closer to launching its Bitcoin ETF, MSBT, after the New York Stock Exchange sent a listing notice – indicating an imminent debut that would make it the first such product from a major US bank, alongside offerings from BlackRock and Fidelity.
Options markets add another layer of complexity. About $14 billion in bitcoin stock options are set to expire, representing a significant portion of open interest.
Consolidation activity related to these contracts has contributed to a gradual shift, with price action pulling toward key strike levels near $75,000.
As these contracts begin, the stabilizing effect from the placement may wear off, leaving bitcoin more exposed to external catalysts.
As the political environment risks are elevated and capital conditions are tightening, the market is facing a period where price movements may be more active and structural flows are reduced.
