Bitcoin ($BTC) hit a wall in late trading on March 13, suddenly dropping 3.5% after the price reached $74,000.
Analysts have been quick to blame volatility from the Iran war for the abrupt downturn in Bitcoin’s price as investors’ risk appetite remains up-and-down. The sudden reversal in Bitcoin’s price comes after the Pentagon confirmed that it is deploying 2,500 Marines to the Middle East as Iran increases its attacks on the Strait of Hormuz.
Bitcoin rallied to nearly $74,000 earlier in the session before reversing sharply lower to $71,000 following news of the Marine deployment. Other cryptocurrencies also fell sharply, including Ethereum ($ETH) and Dogecoin ($DOGE).
Crypto Volatility
Bitcoin continues to struggle to stay above the key support level of $70,000. Over the past six months, the price of Bitcoin has fallen from an all-time high of $126,000 and has largely been stuck in a range of $65,000 to $69,000.
Some analysts are saying that Bitcoin might soon bottom and finally reverse higher. However, other analysts continue to urge caution, noting that there are few catalysts on the horizon to move Bitcoin and other cryptocurrencies meaningfully higher.
Bitcoin’s Three-Month Performance
The chart below shows that Bitcoin has struggled in recent months and declined nearly 22% in the last 12 weeks as the selloff in cryptocurrencies that began in October 2025 continues.
