Bitcoin Falls Below $63,000 as Middle East Tensions Weigh on Crypto

Bitcoin traded near Rs. 60.7 lakh on Monday as the cryptocurrency market came under pressure due to renewed tensions in the Middle East and weaker US spot Bitcoin ETF flows. Ethereum (ETH) was trading near Rs. 1.8 lakh, reflecting limited momentum across major cryptocurrencies. According to market participants, Bitcoin has fallen towards key support levels as investors assess weaker institutional demand and await the Federal Reserve minutes for clues on the future path of US monetary policy. As per CoinGecko data, Bitcoin traded near $63,500 (roughly Rs. 60.7 lakh) and Ethereum (ETH) was trading near $1,900 (roughly Rs. 1.8 lakh).

The world's largest cryptocurrency rose by 0.73 percent in the last 24 hours as per the Gadgets 360 price tracker. Analysts said expectations that the Federal Reserve will keep rates unchanged in September remain relatively supportive, with investors now awaiting the central bank's minutes for further policy signals.

Major altcoins traded with mixed momentum on Monday.

Binance Coin (BNB) was priced around $605.15 (roughly Rs. 57,840), while Solana (SOL) traded near $75.87 (roughly Rs. 7,252). XRP hovered around $1.00 (roughly Rs. 96), and Dogecoin (DOGE) was trading close to $0.070 (roughly Rs. 6.7), indicating limited participation across large-cap cryptocurrencies.

Bitcoin Tests Key Support as ETF Outflows Weigh on Sentiment

Pointing to the impact of renewed geopolitical tensions and weaker institutional flows, Prateek Gupta, Head of Business, Mudrex, said, “Bitcoin has fallen below $63,000 (roughly Rs. 60.2 lakh), testing its 200-week moving average and marking its lowest level since August 3, as renewed tensions in the Middle East weigh on risk appetite. ETF flows have also weakened, with US spot Bitcoin ETFs seeing $390 million (roughly Rs. 3,727 crore) in net outflows this week, giving back part of last week's $865 million (roughly Rs. 8,269 crore) inflows.”

Highlighting the importance of Bitcoin's current support zone, Avinash Shekhar, Co-Founder & CEO, Pi42, said, “The current market calls for patience rather than aggressive positioning. Bitcoin's ability to sustain above $62,300 (roughly Rs. 59.55 lakh) and eventually reclaim the $64,300 to $66,500 (roughly Rs. 61.46 lakh-Rs. 63.56 lakh) zone will be important for confirming stronger momentum, while a decisive move above the $1,900 to $2,000 (roughly Rs. 1.82 lakh-Rs. 1.91 lakh) range could provide clearer direction for Ethereum.”

Assessing the impact of the current ETF flows and broader market participation, Vikram Subburaj, CEO, Giottus.com, said, “Markets now see roughly a 67 percent probability that the Federal Reserve keeps rates unchanged in September, following softer inflation and weak retail-sales data [...] US spot Bitcoin ETFs recorded about $385 million (roughly Rs. 3,679 crore) in net outflows across August 10-14, while spot trading activity remains unusually subdued [...] Investors should avoid chasing short-lived moves inside the current range. Staggered buying, low leverage and disciplined position sizing remain preferable until stronger ETF and spot demand confirms a breakout.”

Overall, Bitcoin's ability to regain $63,500 (roughly Rs. 60.70 lakh) and reclaim the $64,000-$66,000 (roughly Rs. 61.17 lakh-Rs. 63.08 lakh) resistance range, while defending support near $61,000 (roughly Rs. 58.30 lakh), is expected to determine the cryptocurrency's next major move.