Bitcoin rebounds 2,500 points in four hours as Iran-Israel tensions rattle markets

Iran carried out multiple waves of missile strikes on Israel early Monday, intensifying Middle East tensions and triggering a broad risk-off move. Bitcoin (BTC) briefly sold off to 61,184 USDT, reflecting a sharp spike in market anxiety. As geopolitical fears eased, dip-buying returned quickly. BTC rebounded more than 2,500 points in about four hours, climbing back above 63,600 USDT during the session. The rapid upswing forced a wave of short-covering, with lower-level shorts being squeezed out. Liquidation data shows total liquidations topped $113 million over the past hour. Shorts accounted for $108.6 million, or nearly 96% of the total. From a technical perspective, BTC's 4-hour MACD has formed a bullish "golden cross," pointing to improved short-term sentiment. RSI is nearing overbought levels, suggesting the rally could transition into consolidation as profit-taking emerges. Key levels in focus: • Support: 62,500 / 61,500 USDT • Resistance: 64,500 / 65,500 USDT Holding above 63,500 USDT could help sentiment stabilize further. A stall near 64,500 USDT on renewed volume may pull the market back into a high-volatility, range-bound phase. On-chain indicators show a rebound led by some oversold meme tokens and high-beta altcoins, signaling a modest recovery in short-term risk appetite. Volatility remains elevated, favoring lighter positioning and nimble execution rather than chasing momentum with high leverage. Risk disclaimer: Markets are highly volatile. This content is for informational purposes only and does not constitute investment advice.