The bitcoin market took a hit on Tuesday as escalating tensions in the Middle East weighed on investor sentiment. The price of bitcoin dropped below $69,000, with some analysts attributing the decline to increased concerns about a potential conflict in the region.
US President Donald Trump's deadline for Iran to reopen the Strait of Hormuz or face military action was seen as a key factor contributing to the market downturn. The heightened risk-off sentiment across markets led to a decrease in demand for risky assets, including cryptocurrencies.