Iran recently launched approximately 200 ballistic missiles at Israel, marking a significant geopolitical event that has led to the largest drop in digital assets in almost a month. On the first two days of October, Bitcoin (BTC) experienced a decline of around 4%, deviating notably from the historical trend where the cryptocurrency typically sees an average increase of 20% during this month over the past decade.
This unexpected downturn has left traders who anticipated Bitcoin breaking its record high of $73,798, achieved in March, feeling blindsided. The prevailing market concern now centers on the potential for escalating conflicts, suggesting a growing correlation between digital assets and stock performance.
This trend highlights the influence of macroeconomic factors, which remain pivotal in determining Bitcoin's market trajectory. The Federal Reserve's monetary policy decisions are particularly crucial, as they continue to shape investor sentiment and asset valuations in the digital currency space..