Bitcoin price fell below $66,500 on Friday, hitting its lowest level in more than two weeks as a wave of long liquidations and mounting macroeconomic stress weighed on the crypto market..
Data shows nearly $300 million in long positions were liquidated over the past 24 hours, according to Bitcoin Magazine Pro data, compared with roughly $50 million in short liquidations, pointing to an unwind of crowded bullish positioning in crypto futures. The imbalance reflects a market that had leaned heavily long and is now adjusting as sentiment shifts.
The bitcoin price selloff coincided with a broader risk-off move across global markets. Nasdaq 100 futures have fallen about 10% from their January highs, while oil prices climbed near $100 per barrel amid escalating geopolitical tensions tied to the ongoing conflict involving Iran.
Earlier today, Israel said it will escalate strikes on Iran after renewed waves of Iranian missile attacks, while both sides continue exchanging fire despite ongoing diplomatic efforts.
President Trump has paused U.S. strikes on Iranian energy infrastructure for 10 more days to allow negotiations, even as reports suggest the Pentagon is considering deploying up to 10,000 additional troops to the Middle East.
Meanwhile, the conflict is widening regionally, with shipping disruptions reported in the Strait of Hormuz, Gulf states on alert after strikes, and Iranian casualties reportedly nearing 2,000 as international talks continue in Europe.
The surge in crude has renewed inflation concerns and pressured risk assets, including cryptocurrencies.
Bitcoin price dynamics
Bitcoin price briefly approached $71,500 this week on optimism tied to a potential diplomatic breakthrough in the Middle East. Those gains reversed as uncertainty around negotiations resurfaced, pushing prices lower and reinforcing sensitive market conditions.
Despite the recent decline, bitcoin price continues to trade within a defined range between $60,000 and $75,000 that has held for several weeks, even months. The asset remains well below its October 2025 peak above $126,000 following a broader market correction.
Institutional flows present a mixed picture. U.S.-listed spot bitcoin exchange-traded funds recorded sustained inflows earlier in March, totaling about $2.5 billion over five weeks. That momentum has slowed in recent sessions, with net outflows emerging and signaling a pause in accumulation as investors respond to macro uncertainty.
At the same time, on-chain data indicates continued withdrawals of bitcoin from centralized exchanges over the past month. This trend suggests longer-term holders are moving assets into self-custody, a pattern often associated with accumulation rather than distribution.
Despite this, Morgan Stanley is a step closer to launching its spot Bitcoin ETF, MSBT, after the New York Stock Exchange posted a listing notice — signaling an imminent debut that could make it the first such product from a major U.S. bank, alongside offerings from BlackRock and Fidelity.
Options markets add another layer of complexity. Roughly $14 billion in bitcoin price options are set to expire, representing a significant share of open interest.
Hedging activity tied to these contracts has contributed to subdued volatility, with price action gravitating toward key strike levels near $75,000.
As these contracts roll off, the stabilizing effect from derivatives positioning may fade, leaving bitcoin more exposed to external catalysts.
With geopolitical risks elevated and macro conditions tightening, the market faces a period where price movements may become more reactive and less constrained by structural flows.