The situation in the Middle East has suddenly escalated, and the crypto market has fallen.

Late Thursday night, Israel launched airstrikes against Iran, triggering turmoil in global financial markets, with risk assets facing sell-offs and Bitcoin prices consequently falling.

The impact of this event on investors' assets is primarily reflected in three aspects:

First, after the news of the airstrike broke, Bitcoin fell 5% in early trading on Friday, dropping to $102,900.

Secondly, the escalating tensions in the Middle East have driven safe-haven funds into the gold market, with spot gold prices soaring to $3,429.

Finally, the U.S. government stated that it is closely monitoring the developments, while oil and stock futures prices have also experienced a fall.

Israel's airstrikes against Iranian military targets have further escalated tensions in the Middle East, leading to a widespread sell-off of risk assets. Data shows that the world's largest cryptocurrency, Bitcoin, fell from a 24-hour high of $108,500 to $102,900, a decline of over 5%.

Israeli officials have confirmed that the targets of this airstrike were Iranian military facilities near Tehran and Tabriz, stating that this is a "preemptive" action taken against the "escalating threats." Israeli Prime Minister Netanyahu emphasized at a press conference on Thursday that Iran's nuclear ambitions are a "clear and present threat," and stated that the preemptive actions would "last for several days until the threat is eliminated."

The Iranian side has not yet made an official response to this matter, but its national media reported that an explosion occurred in the affected area, causing air traffic disruptions. It is worth noting that Israeli defense officials previously held meetings with senior officials from the U.S. Department of Defense. The U.S. government has not made any clear comments on this airstrike, only stating that it is closely monitoring the situation.

A cryptocurrency fund manager stated in an interview: "The latest escalation of tensions between Israel and Iran is impacting risk assets and the oil market, but we have seen this situation before. A similar incident in April 2024 triggered a sell-off in the crypto market over the weekend, but after the situation eased, the market rebounded quickly. These moments are often a good buying opportunity."

Another analyst agreed with this viewpoint and pointed out that Bitcoin is still a risk-on asset in the eyes of short-term traders, but the long-term allocation by institutional investors is gradually dominating its trend. He explained: "This explains why Bitcoin may follow the fluctuations of risk assets in the short term, but can outperform gold in the long term."

At the same time, risk aversion drove the spot gold price to soar to $3,429, while U.S. futures prices fell as investors worried about the broader risk of regional conflict.

This series of events once again highlights the significant impact of geopolitical factors on the global financial markets, especially the emerging encryption market. Investors need to closely monitor the situation and adjust their investment strategies accordingly.