The cryptocurrency market faced renewed pressure on Friday as Bitcoin fell below the $63,000 mark, dragged lower by escalating geopolitical tensions in the Middle East and a wave of liquidations across digital assets.
The global crypto market lost nearly 2 percent in the past 24 hours, pushing total market capitalization down to $2.16 trillion. Bitcoin dropped to $62,500, while Ethereum slipped below $1,700 and XRP declined to $1.13 as broader risk sentiment weakened.
The sell-off follows reports of Israeli military strikes in southern Lebanon, which unsettled global markets despite diplomatic efforts between the United States and Iran aimed at easing regional tensions.
Market data from CoinGlass showed total crypto liquidations surged to $452.7 million over the last 24 hours. Long traders suffered the bulk of the losses at $367.2 million, while short positions accounted for $85.1 million. Nearly 119,000 traders were liquidated during the period.
Bitcoin led the losses with $134.9 million in liquidated positions, followed by Ethereum at $108.4 million. Other major cryptocurrencies including XRP, Solana, and Cardano also recorded sharp liquidations.
Technical indicators suggest Bitcoin is testing a critical support zone between $60,000 and $62,500 after breaking below a rising channel that had supported its rally from February lows near $53,000 to above $82,000 earlier this year.
Analysts say the break signals a shift toward bearish momentum, with the Relative Strength Index (RSI) dropping to 34.19, indicating oversold conditions. While this could hint at a short-term rebound, market uncertainty and low trading volume continue to weigh heavily on sentiment.
Traders are closely watching the $62,500 support level. A break below could open the door to further declines toward $57,500, while a recovery above $65,000 may provide the first sign of renewed buying strength.
For now, market watchers say Bitcoin’s near-term direction will likely depend on geopolitical developments and broader investor appetite for risk.
