Key Takeaways
- On July 10, bitcoin surged to $64,653, reversing losses from Middle East tensions.
- The sudden rally forced a massive $170 million in short liquidations across the crypto market.
- Bitunix Analyst warns bitcoin’s macro trend relies on holding the critical $64,000 level.
Bitcoin Erases Geopolitical Losses
On Friday, bitcoin breached $64,000, entirely erasing the mid-week losses triggered by sudden geopolitical escalations in the Middle East. After trading just under $62,800 on Thursday afternoon, the cryptocurrency climbed steadily to hit an intraday peak of $64,653 just after 9:50 a.m. EST.
Although it dipped slightly below the $64,000 mark at the time of writing (12:35 a.m. EST), bitcoin still secured a 2% gain on July 10, pushing its market capitalization back above $1.28 trillion. This rally lifted the broader crypto market cap to $2.28 trillion—a 1.5% increase over 24 hours.
The sudden upswing caught bearish traders off guard, triggering $96 million in short liquidations compared to just $13 million in leveraged longs. Across the wider crypto market, a massive $236.50 million in leveraged positions were wiped out, with short liquidations accounting for nearly $170 million of the total.
A tense lull settled over the region following 48 hours of intense U.S. bombardments, which observers classified as some of the heaviest since the conflict began. However, experts warn that this pause in kinetic action is merely a prelude to further escalations. The core trigger remains unresolved, as Washington and Tehran remain deadlocked over fundamentally incompatible interpretations of maritime sovereignty and security protocols within the Strait of Hormuz, as spelt out in the memorandum of understanding.
Consequently, the unremitting uncertainty cloaking this crucial trade artery is expected to exert a sustained drag on global markets, forcing investors to continuously price in supply-chain disruptions and energy price volatility.
Meanwhile, the latest Bitunix Analyst report asserts that bitcoin’s reclaim of the $64,000 resistance level places it at a critical juncture. A sustained breakout above this threshold could signal reviving risk appetite and unlock further upside momentum. Conversely, a failure to defend $64,000 could trigger immediate profit-taking and spark renewed short-term volatility.
While the cryptocurrency’s recent recovery reflects stabilizing market confidence, analysts emphasize that the broader trend remains tightly bound to macro liquidity conditions and broader investor positioning.
