Bitcoin Price Drops to $76,000 After Iran Closes Strait of Hormuz Again

A major short squeeze took place in a single session, with Bitcoin reaching $78,000 on Friday before pulling back to $76,091 by Saturday evening. The price drop came after Iran announced the reclosure of the Strait of Hormuz, less than 24 hours after it was declared open. This development led to a $762 million liquidation across 168,336 traders, with $593 million of that being on the short side. The event was triggered by the Hormuz reopening, which initially caused crude oil prices to drop nearly 10% and Bitcoin to break above the $76,000-$78,000 zone. However, the rally was short-lived, as the market pattern of ceasefire headlines driving a rally, followed by a reversal headline, repeated itself. The forced unwind has set up another opportunity for the market to move against the previous trend. Other cryptocurrencies, such as Ether, Solana, and Dogecoin, also experienced fluctuations, with Ether holding up better than Bitcoin on the retreat. The question now is whether the $76,000 zone will hold into Monday's open, and whether a clean weekly close above $76,000 can preserve the structural break.