Bitcoin Wavers at $70K as Iran War Rocks Markets
As crude oil prices rise and stock markets seek to balance bitcoin at $70,000, investors worry about inflation in the US.
Bitcoin (BTC)'s rejection of the high of $76,000 on Tuesday and a sell-off below $70,000 has raised concerns among traders, but not the lower BTC.
Chartered Markets Technician Axel Kibar suggested that a bearish wedge pattern similar to the one seen from December 2025 to early January 2026 could re-emerge.
Xena said.
“A break of the lower boundary would signal a move towards $52.5k.”
Kibar cited X's social media post from January 18, 2026, where BTC explained the need to “find the body and base of the chop” to its yearly average.
“The pattern is likely to be a rising wedge, usually weakening as it attempts to test the $73.7K to $76.5K support area,” Kibar said.
Bitcoin follows US stocks as high oil prices and inflation rock markets
Bitcoin's fall below $70,000 followed a sharp sell-off in U.S. stocks as traders boosted investor confidence about crude oil prices, the cost of the U.S.-Israel-Iran war and its impact on inflation.
Related: Bitcoin vs Gold Shows Potential Bottom Signs as BTC Bulls Defend $70K
In a post about how the current Trump administration's decisions will affect inflation, Kobe's letter,
“The market now sees a 50% chance of a US Fed rate hike by the end of 2026. Just months ago, markets saw as many as four rate cut cuts this year.”
In their BTC Options weekly report, Glassnode analysts concluded that “Bitcoin has re-consolidated the range after a short-lived divergence above the $75K level.”
The analysts explained that Bitcoin's “short gamma at $75,000 has disappeared from the wound” in the options market.
“Below the regression, divergence has lost momentum and regional conditions are returning.”
This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision. While we strive to provide accurate and up-to-date information, Cointelegraph does not guarantee the accuracy, completeness or reliability of any information in this article. This article may contain forward-looking statements that are subject to risks and uncertainties. Cointelegraph shall not be liable for any loss or damage arising from reliance on this information.
