Bitcoin, Ethereum, XRP, Dogecoin Retreat Amid Trump's Iran Warning: Analyst Says BTC Mirroring 2023 Bottoming Pattern, 'Decisive Breakout' Could Follow

Leading cryptocurrencies corrected on Tuesday as investors weighed in on President Donald Trump’s latest warnings to Iran.Cryptocurrency24-Hour Gains +/-Price (Recorded at 9:08 p.m. EDT)Bitcoin (CRYPTO: BTC)-1.92%$77,160.31Ethereum (CRYPTO: ETH) -2.61%$2,407.83XRP (CRYPTO: XRP) -3.29%$1.33Solana (CRYPTO: SOL) -3.59%$99.62Dogecoin (CRYPTO: DOGE) -2.38%$0.08114Crypto Market Cools DownBitcoin dived below $77,000, while Ethereum retreated beneath $2,400 amid a sharp correction across the cryptocurrency market.Cryptocurrency-related stocks also fell, with Strategy Inc. ) and Bitmine Immersion Technologies Inc. ) closing down 6.06% and 7.70%, respectively.Long liquidations spiked, with over $250 million liquidated after the drop in spot prices, according to Coinglass data.Bitcoin’s open interest fell 2.84% over the last 24 hours. Interestingly, smart money sentiment on Binance, which refers to the collective outlook and capital allocation of institutional investors, turned "extremely bullish.""Greed" sentiment prevailed in the market, according to the Crypto Fear & Greed Index.Top Gainers (24 Hours)Cryptocurrency (Market Cap>$100 M)Gains +/-Price (Recorded at 9:30 p.m. EDT)UnifAI Network (UAI) +47.23% $0.5668Useless Coin (USELESS) +22.55% $0.1137Falcon Finance (FF) +15.24% $0.09772The global cryptocurrency market capitalization stood at $2.60 trillion, contracting by 1.86% over the last 24 hours. Read Also: Stocks Pressured After US Strikes on IranStocks extended their losses on Tuesday. The Dow Jones Industrial Average plunged 419.02 points, or 0.79%, to end at 52,766.88.  The S&P 500 declined 0.71% to close at 7,631.4, while the Nasdaq Composite shed 1.03% to settle at 26,099.77.The U.S. military launched a fresh wave of strikes on Iranian targets near the Strait of Hormuz, in retaliation for what President Donald Trump said was a “failed attempt at adding sea mines” to the critical waterway.Trump warned Iran of further consequences if it retaliates for this “justified attack” by the U.S.Bitcoin Repeating 2023 Pattern?Ali Martinez, a widely followed cryptocurrency analyst and trader, said Bitcoin could be mirroring its 2023 bottoming pattern, with multiple tests of a descending channel’s upper trendline before a breakout.“If history repeats, we could see a few more failed breakout attempts, followed by a pullback toward the mid-range near $70,000, before a decisive breakout,” the analyst remarked.BITCOIN BOTTOM FRACTALBitcoin may be following the same bottoming pattern seen in 2023.Back then, price tested the top of its channel three times, failing to break through before undergoing a 20% correction toward the mid-range. On the fourth attempt, Bitcoin finally broke… On-chain analytics firm CryptoQuant noted that Bitcoin’s underlying on-chain structure appears weaker than the price rally suggests, with holders consistently realizing profits.Net Realized Profit and Loss indicator saw two major spikes last month, among the largest this year outside the January-February crash.“Pressure hasn’t cleared, just shifted from acute to chronic,” CryptoQuant added. “Bottom line: price direction hinges on which breaks first — fading spot demand or persistent realized profit.”Fragile Structure Beneath the Optimism"Bottom line: Price direction hinges on which breaks first — fading spot demand or persistent realized profit." – By Crypto MommyFull analysis ⤵️ Read Also: Strong ETF, Spot Demand Keep Bitcoin Afloat—But for How Long? Photo Courtesy: Marc Bruxelle on Shutterstock.com