Ether Drops to 10-Day Low as Geopolitical Tensions Fuel Flight to Safety

Ether (ETH) plunged more than 7% on Thursday, hitting a 10-day low amid a global risk-off move triggered by Israeli airstrikes on Iran. The token fell from a session high of $2,770.56 to as low as $2,477.71 before rebounding slightly to trade near $2,536.

The market turmoil followed news that Israel had launched strikes against Iranian military and nuclear targets in what Prime Minister Benjamin Netanyahu described as a “targeted military operation.” In retaliation, Iran reportedly deployed around 100 drones toward Israeli territory. While the U.S. distanced itself from direct involvement, Secretary of State Marco Rubio stressed the need to protect American forces stationed in the region.

Investors responded by shifting to traditional safe-haven assets. The U.S. dollar gained 0.6% Friday morning, reversing its previous weakness, and gold climbed to a near two-month high. Oil prices briefly surged as much as 13% before easing. Notably, the dollar outpaced other safe-haven currencies such as the Swiss franc and Japanese yen.

Analysts said the trajectory of the conflict—and its potential impact on energy markets—would be critical in shaping investor sentiment. ING strategists highlighted the dollar’s resilience, while Bank of America noted that bearish dollar positioning remains intact despite recent shocks.

ETH’s price action mirrored weakness across broader risk assets including equities and commodities. Although prices have found short-term support around $2,530, ongoing geopolitical uncertainty is expected to keep volatility elevated.

Technical Analysis Summary:

• ETH dropped 10.6% intraday, bottoming at $2,477.71.
• Trading volume spiked to 692,000 ETH as selling intensified during U.S. evening hours.
• A rebound from the $2,480 zone stalled near $2,550, where new resistance is forming.
• Price is now consolidating between $2,530 and $2,540.
• Declining volume may indicate short-term seller exhaustion, though no clear reversal is in place.