Cryptocurrency markets are highly sensitive to geopolitical risks, and allegations of an attack on Iran have led to a price drop. As this article is being prepared, Bitcoin (BTC) 
$78,415 is trading at $65,600, with daily lows continuing to decline.
Why Are Cryptocurrencies Falling?
Many altcoins experienced declines of over 10% during this period. Bitcoin’s price has fallen to $65,600 amid claims that Israel has initiated an attack on Iran in response to missile strikes on October 1. According to Fox News, the attack has officially begun, prompting investors to sell rapidly due to fears of larger losses as the weekend approaches.
Reports from sources like Axios confirm the commencement of the attack based on information from knowledgeable individuals. Iranian state television reports explosions in various locations in Tehran, although there has yet to be an official statement regarding the cause of the explosions.
U.S. officials have hinted at a potential retaliation against Iran, advising that it should be “limited.” The Biden administration has openly expressed concern about the potential for this situation to escalate into a full-scale war. The U.S. military has been increasing its presence in the region over the past few weeks, with CENTCOM recently announcing that F-16s from the U.S. Air Force have reached its area of responsibility.
