Bitcoin (BTC) fell sharply to $61,800 from $64,400 before finding support and bouncing back, as escalating Middle East tensions and the U.S. naval blockade of the Strait of Hormuz rattled crypto markets. The leading cryptocurrency has since recovered to the mid-$62,000 range, but remains down about 3% on a monthly basis, with market cap hovering below $1.26 trillion.
Geopolitical jolts and Strategy's impact
Last week, Strategy's announcement of a large Bitcoin sale initially drove prices down to $61,200, but buying quickly emerged, pushing BTC back to $64,600. The rally proved short-lived as renewed U.S.-Iran clashes and President Trump's decision to reimpose a naval blockade in the Strait of Hormuz weighed on sentiment, sending Bitcoin to $61,600 again. Over the weekend, the asset recovered to the $64,000 level, trading in a range.
Notably, Strategy did not execute any additional purchases or sales last week, offering temporary relief. However, the geopolitical overhang kept pressure on prices. Bitcoin's dominance stands at 56.7%, largely unchanged, while total crypto market cap shed about $20 billion in a day, falling below $2.22 trillion.
Altcoins mixed, Pi Network hits all-time low
Most major altcoins declined 2-3%, with Ethereum (ETH), XRP, Solana (SOL), TRON (TRX) and Dogecoin (DOGE) all lower. Hyperliquid, Zcash (ZEC) and Stellar (XLM) fell over 3%. Pi Network (PI) was among the worst performers, hitting an all-time low near $0.07 after failing to break $0.30 resistance in March. On the upside, HASH rose 25% to $0.0095, and BDX gained 10% to a similar level, while Dexe dropped double digits after a recent rally.
Analysts say the market has entered a high-volatility phase driven by geopolitical risks and macro factors. Short-term trading within the $61,000-$64,000 range is advised, with a focus on news catalysts. A sustained recovery hinges on de-escalation of Middle East tensions and a rebound in investor confidence.