Recent geopolitical events have negatively affected the cryptocurrency market. Bitcoin and alternative coin prices have significantly decreased, but the situation has changed following reports of negotiations between Iran and Israel.
Bitcoin and Altcoin Prices Drop Sharply
The price of Bitcoin dropped to $98,000, which also reflected in the value of Ethereum and other altcoins. The market was influenced by the current tensions between the US, Iran, and Israel.
Recent Changes in the Cryptocurrency Market
After news of an agreement between Iran and Israel, BTC and altcoins began to rise. Santiment issued a warning about volatility for several altcoins, given significant transfers to exchanges.
Whale Activity and Its Consequences
Santiment reported four altcoins that whale investors are actively transferring to exchanges. These include PAX Gold (PAXG), Space ID (ID), Gala (GALA), Aethir (ATH), and Pendle (PENDLE). Such large transfers to exchanges are generally seen as preparations for sales, leading to increased volatility. As noted by experts, "PAX Gold, Space ID, Gala, Aethir, and Pendle are among the altcoins that have seen whale transfers of over $1 million to centralized exchanges. Be prepared for volatility...".
Geopolitical events and the activity of major investors play a significant role in price changes for cryptocurrencies. Investors should closely monitor transfers to exchanges, as they may indicate potential increases in volatility and selling pressure.
