After Iran’s recent drone attack on Israel, the cryptocurrency market experienced a significant reaction, with Bitcoin (BTC) dropping over 8% to trade at $61,514. This correction is part of a trend that began on April 12 and escalated the following day.

Market analysts have estimated that over $860 million in assets were liquidated over the course of two days, with Bitcoin’s price initially falling from $71,000 to $65,000 and then dropping further to the $61,000 level. The first drop was attributed to news from the U.S. Federal Reserve indicating a reluctance to reduce interest rates due to persistent inflation concerns, causing uncertainty both domestically and globally.

The second drop was a response to escalating tensions between Iran and Israel, prompting swift reactions from crypto traders as traditional financial markets were closed for the weekend.

Bitcoin is currently trading at $64,123, reflecting a 5% decrease from the previous day. Over the past seven and 14 days, the losses amount to 7.5% and 8.6%, respectively, with a slight dip of slightly over 6% over the last 30 days. Although Bitcoin has dropped 13% from its all-time high of $73,798 in March, it still maintains a significant increase compared to a year ago.

Following Iran’s attack on Israel, Ethereum (ETH) also experienced a decline to $2,850, with other cryptocurrencies averaging a 20-30% decrease. Only a few cryptocurrencies including Leo token (LEO), Bittensor (TAO), Celestia (TIA), and Wormhole (W) within the top 100 by market capitalization showed gains in the last 24 hours.

Despite the market downturn, some analysts view this drop as a normal occurrence. Benjamin Cowan, founder of Into The Cryptoverse, noted that similar drops have been observed in the past, while MicroStrategy’s Executive Chairman Michael Saylor reiterated the belief that chaos can be beneficial for Bitcoin in the long run.

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