Bitcoin News

How Will Israel-Iran Tension Affect The Crypto Market Rally This ‘Uptober’?

The crypto market's 'Uptober' rally could be at risk amid the Israel Iran tension, which threatens to destabilize the global markets.
Published by
How Will Israel-Iran Tension Affect The Crypto Market Rally This ‘Uptober’?

Highlights

  • The crypto market's 'Uptober' rally is at risk with Iran attacking Israel.
  • The crypto market is already down following these reports, with over $9 million liquidated from the crypto market.
  • Bitcoin has dropped below $62,000 and risks losing the $60,000 support level.

The crypto market has started the month in the red, and now, the projected ‘Uptober’ rally could be at risk thanks to the Israel Iran tension. Iran has launched missile attacks against Israel in retaliation for the latter’s attack on Hezbollah forces in Lebanon. This won’t be the first time that Iran is attacking Israel this year.

Advertisement

Crypto Market To Suffer From Israel Iran Conflict

The market is set to suffer from the Israel Iran conflict, with Iran carrying out missile attacks on Israel following the latter’s ground invasion of Southern Lebanon and the assassination of Irani-backed militia Hezbollah leader Hassan Nasrallah.

As expected, the crypto market is already responding negatively to this development. Coinglass data shows that over $351 million has been liquidated from the market in the last 24 hours. Meanwhile, crypto prices are also down, with Bitcoin dropping below $63,000 following the news about Iran’s imminent attack.

Conflicts like the Israel Iran tension typically have a negative impact on the market as they bring about uncertainty, which leads to a wave of sell-offs. It is worth mentioning that this isn’t the first time that the tensions between both countries have escalated this year. In April, Iran launched a drone and missile attack on Israel in retaliation for the latter’s airstrike that killed a top Iranian general in Syria.

Bitcoin slumped by over 8% following that development, with the broader crypto market suffering a similar fate. As such, this time is unlikely to be different if Iran follows through with its attack. Moreover, there are reports that Iran’s attack this time around will be worse than the April attack.

According to a CoinGape analysis, BTC was already likely to correct as the Bitcoin price slipped below $65,000. Therefore, this incident only acted as the catalyst for this price correction.

Advertisement

FUD To Return To The Market

FUD is undoubtedly set to return to the crypto market amid the Israel Iran tension. The market was nearing extreme greed, with market participants increasing their risk appetite following Bitcoin’s surge above $65,000 last week. The on-chain analytics platform Santiment recently suggested that FUD returning to the market is actually bullish in the long term.

Santiment claimed that the crowd’s bullish sentiment towards Bitcoin indicated a high top probability for the crypto market. Thanks to the Israel Iran conflict, the price retrace is expected to lead to panic sells. Once that happens, the platform predicts that FOMO will turn to FUD, and the bull market can then resume shortly after.

Advertisement

Share
Boluwatife Adeyemi

Boluwatife Adeyemi is a well-experienced crypto news writer and editor who has covered topics that cut across several niches. His speed and alacrity in covering breaking updates are second to none. He has a knack for simplifying the most technical concepts and making them easy for crypto newbies to understand. Boluwatife is also a lawyer, who holds a law degree from the University of Ibadan. He also holds a certification in Digital Marketing. Away from writing, he is an avid basketball lover, a traveler, and a part-time degen.

Published by
Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Recent Posts

  • 24/7 Cryptocurrency News

Gold Vs Bitcoin – Peter Schiff Predicts BTC Will Be ‘Rugged by Gold’

The long-running rivalry between gold and Bitcoin has resurfaced. Economist and gold advocate Peter Schiff…

October 8, 2025
  • 24/7 Cryptocurrency News

CEA Industries’ BNB Holdings Reach 480K as Binance Coin Hits New ATH of $1,300

BNB has surged to a record $1,300, overtaking XRP in market value, as CEA Industries…

October 7, 2025
  • 24/7 Cryptocurrency News

Peter Brandt Predicts XRP Could Drop to $2.2 If This Happens

Veteran trader Peter Brandt has dropped another XRP analysis, in which he revealed what could…

October 7, 2025
  • 24/7 Cryptocurrency News

Fed’s Stephen Miran Says He’s ‘Sanguine’ on Inflation Outlook as He Backs More Rate Cuts

Federal Reserve Governor Stephen Miran has again suggested that he isn't worried about the inflation…

October 7, 2025
  • 24/7 Cryptocurrency News

S&P Launches Crypto 50 Index But There’s A Catch

S&P Dow Jones Indices has introduced a new crypto index called the S&P Digital Markets…

October 7, 2025
  • 24/7 Cryptocurrency News

NYSE Owner ICE to Invest $2B in Polymarket as Interest in Prediction Markets Heats Up

Crypto predictions platform Polymarket has secured a strategic investment from New York Stock Exchange (NYSE)…

October 7, 2025