Largest Bitcoin Leverage Unwind in Nearly a Year Triggered by Iran-Israel Tensions
Bitcoin's price rebounded above $105,000, reaching approximately $105,500, a 2.3% increase in 24 hours. This rally coincided with news of a ceasefire between Iran and Israel, despite President Trump's concerns about violations of the truce. The S&P 500 rose by 1.15%, the Dow Jones by 1.22%, and the Nasdaq by 1.46%. Over the weekend, Bitcoin fell below $100,000, leading to over $700 million in liquidations due to U.S. missile strikes on Iran. Notional open interest in Bitcoin perpetual contracts decreased by 17,394 BTC, marking a significant decline and indicating traders were de-risking. The Fear & Greed Index remained at 65, reflecting greed, but traders were cautious about adding risk. The Bitcoin Volatility Index dropped to 39.15, its lowest since October 2023, with expectations of stable price action ahead of the monthly futures expiry on June 27. Analysts noted a neutral flow in derivatives trading, with expectations for Bitcoin to remain around $105,000, while some bullish sentiment emerged for July and September options.
