Bitcoin (BTC to PKR) fell 3% on Tuesday as geopolitical tensions in the Middle East triggered a global sell-off. The closure of the Strait of Hormuz caused fears over oil supply, pushing both stocks and gold lower, while BTC struggled to reclaim the $70,000 level. Investors are now watching $66,000 as the next key support.
Middle East Crisis Hits Oil and Assets
The escalation in Iran and the closure of the Strait of Hormuz caused oil prices to surge, triggering volatility across financial markets. Bitcoin fell to $68,880 from recent highs near $70,000, gold dropped to target $5,000 support, silver and platinum plunged 11% and 13% respectively, and the S&P 500 and Nasdaq lost around 2%.
“The market is beginning to price-in a longer war,” noted trading resource The Kobeissi Letter on X.
Bitcoin failed to flip critical trend lines into support, leaving bears in control. Analyst Keith Alan of Material Indicators observed that after losing the 2021 Top and the 21-Day SMA again, BTC shows no signs of a strong bull recovery, reminiscent of the 8-month consolidation period between March and November 2024. Despite this, BTC outperformed other assets during the sell-off, declining only 3% compared to gold, silver, and platinum. Crypto trader Michaël van de Poppe highlighted that BTC is holding relatively steady amid high volatility, suggesting a lower side of the range may present buying opportunities.
Gold, traditionally a safe-haven asset, suffered significant losses amid the oil-driven crisis. Nik Bhatia, founder of The Bitcoin Layer, described gold as “absolutely smashed,” although it still posted a 16% gain year-to-date. Analysts note that the weakness in gold could signal a potential rotation of capital toward Bitcoin, providing some support for BTC in the near term.
BTC to PKR Outlook
For Pakistani investors, Bitcoin trades near ₨19.6M to ₨20M, equivalent to $68,880. Key support is now at $66,000 (≈ ₨18.8M), with resistance around $70,000 (≈ ₨20.3M). Macro catalysts include oil price fluctuations, ongoing geopolitical developments, and potential capital rotation from gold. BTC’s relative stability compared to other assets underlines its potential as a hedge amid the current market turbulence.
The recent oil-driven fears and Middle East tensions pushed BTC lower, but the cryptocurrency continues to outperform traditional assets. Traders should monitor $66,000 as the immediate support level, while a reclaim of $70,000 could signal renewed bullish momentum. Michaël van de Poppe emphasized that strength would become evident if BTC joins the eventual bounce in stocks and metals, suggesting that market participants remain attentive to both macro events and technical levels.
