Bitcoin Dives Below $77K Amid US-Iran Conflict and Rising Oil Prices

Bitcoin's price plummeted below $77,000 on Monday morning, losing over $2,000 in value in a matter of hours. This sudden drop came as geopolitical tensions escalated between the United States and Iran, with renewed fighting sparking concerns about oil prices and inflation.

The US-Iran conflict led to a surge in Brent crude to over $90 per barrel, causing worries that higher energy costs could exacerbate inflationary pressures. Meanwhile, Asian stock markets declined, with Japan's Nikkei falling by around 2%, while the Japanese yen weakened against the greenback.

Bitcoin's price drop was accompanied by a sharp increase in liquidations, with over $400 million in positions being wrecked on a daily scale. The majority of these losses occurred among Ethereum (ETH) longs, which accounted for nearly $100 million in losses. This rapid decline has left traders scrambling to cover their positions.