Bitcoin briefly fell below the $99,000 threshold amid heightened geopolitical tensions, particularly Iran’s threat to close the Strait of Hormuz, before recovering to trade above $101,000. Market analysts view this dip as a temporary correction within Bitcoin’s broader bullish trajectory rather than a trend reversal.
Prominent experts including macro analyst Raoul Pal and BitMEX co-founder Arthur Hayes maintain strong confidence in Bitcoin’s long-term prospects. They cite its historical correlation with expanding global M2 money supply and anticipated monetary easing by central banks as fundamental drivers for future price appreciation.
Retail sentiment shifted dramatically during the downturn, with the Fear and Greed Index recording its sharpest single-day drop since April. However, Santiment data indicates such extreme negative sentiment has frequently preceded Bitcoin price recoveries historically, presenting a potential contrarian signal.
Technical analyst TechDev projects Bitcoin could reach $170,000 despite current volatility, while industry leaders including Binance CEO Changpeng Zhao and Crypto Banter host Ran Neuner reinforce expectations of continued recovery. Bitcoin’s resilience aligns with these forecasts, though analysts caution its near-term trajectory remains sensitive to geopolitical developments.