According to BroadChain, on April 18th, CoinDesk reported that due to the fluctuating situation in the Middle East, the price of Bitcoin has fallen back to around $76,000. Previously, Iran's temporary announcement of opening the Strait of Hormuz triggered a rise in risk assets and a massive short squeeze. However, the subsequent closure of the waterway again quickly reversed market sentiment.
Data shows that this market movement triggered one of the largest liquidation events since 2026, with approximately 168,336 traders liquidated, totaling $762 million. Among these, short positions accounted for about $593 million, representing nearly three-quarters of the total. During the upward phase, crude oil prices fell by nearly 10%, pushing Bitcoin to break through the key resistance level in the $76,000 to $78,000 range. However, as the Strait of Hormuz re-entered military control and multiple oil tankers turned back, risk-off sentiment returned, leading to a price decline.
Structurally, this rally was driven by persistently negative funding rates, with shorts continuously paying costs to longs, accumulating conditions for a squeeze. Despite the short-term pullback, Bitcoin still maintains a weekly gain of about 4.5%, while mainstream assets like Ethereum have shown relatively more stable performance. Currently, market focus has shifted to the key support level at $76,000. If the weekly close remains above this level, the breakout structure may be maintained; if it falls below, the price could potentially return to the consolidation range observed since March.