After a positive week, the encrypted currency market returned on Monday, mainly affected by tensions in the Middle East. On Monday, South Korea ' s KOSPI index fell by 9.2 per cent and the market ' s leverage position of $253 million was liquidated. Bitcoin fell by 1 per cent, while LIT, after a 200 per cent increase, for the first time made a significant 8 per cent return.
Tension in the Middle East is mainly due to the conflict between Iran and the United States in the Strait of Hormuz, where both sides launched air strikes against each other. The United States stock market was also affected by a 0.9 per cent and 0.25 per cent decline in the NASDAQ 100 and Standard & Poor ' s 500 futures, respectively.
Despite the market reversals, Bitcoin derivatives remained stable and no significant new leverage was observed. According to Coinglass, the ratio of multiple to empty liquidations over the past 24 hours was 76:24. It is worth noting that the AID tokens FET and NEAR have performed well in the market rebound, increasing by about 1.5 per cent, respectively.
Overall, despite the pressure on markets, the long-term dynamics of Bitcoin and other encrypted assets still require attention, and investors, after experiencing significant market volatility, may adopt a profitable strategy.