BTC Volatility Surges as Geopolitical Tensions Spark 2.61% Drop and Trading Volume Jumps 29%

Bitcoin (BTCUSDT) experienced notable volatility in the last 24 hours, with its price decreasing by 2.61% to $71,096.00 on Binance. This price change is primarily attributed to heightened geopolitical tensions following the US announcement concerning the Strait of Hormuz and uncertainty in ongoing US-Iran peace talks, which led to increased risk-off sentiment among investors. The extreme fear reflected by the Fear & Greed Index at 12 and a surge in liquidations further amplified short-term price fluctuations. Despite these pressures, institutional inflows remained robust, evidenced by the IBIT ETF's net $269 million inflow, and market activity increased, as seen by the 29.70% jump in trading volume. Bitcoin's current market capitalization stands near $1.414 trillion, with 24-hour spot trading volume at $3.48 billion and futures volume at $47.85 billion, underscoring high engagement amidst uncertainty.