Bitcoin faces volatility near $84,000 amid geopolitical tension

Bitcoin is experiencing significant price volatility, struggling to maintain levels above $84,000 after failing to sustain a peak near $87,000. Technical analysis indicates a key support level around $84,012, with potential further declines toward $80,000 if support fails.

Market sentiment has been heavily influenced by geopolitical tensions in the Hormuz Strait following reports of a tanker attack, which contributed to a reversal of recent gains. While weak US employment data initially boosted prices by lowering interest rate expectations, the subsequent geopolitical instability increased selling pressure.

In the institutional sector, Bitcoin ETFs saw a net inflow of approximately $171.25 million for the trading week ending October 2. A strong performance on Friday, which saw roughly $120 million in inflows, helped offset significant outflows experienced earlier in the week.