Bitcoin (BTC) Faces Heavy Liquidations Near $109.5K as Gaza-Israel Conflict and Energy Strikes Spike Volatility

Israel announced on September 1 that it killed a senior Hamas spokesperson in Gaza City amid preparations for a broader ground offensive, while reports surfaced of reported U.S. plans for extended post-war involvement and Israeli discussions on West Bank annexation—developments that have intensified geopolitical tensions and kept energy infrastructure risks in focus following escalated strikes by Russia and Ukraine.

In crypto markets, on-chain and derivative metrics show concentrated BTC liquidation activity around $109.5K and clustered long exposure near $107.4K, with price action remaining range-bound between $108K–$110K over the past week, sustaining elevated trading volumes and short-term volatility.

Market strategists recommend a macro-first approach: monitor oil prices, the U.S. dollar, diplomatic responses, sanctions, and energy supply updates. Emphasis should be on capital flows and liquidity dynamics rather than headline-driven reallocation, as these factors primarily underpin mid-to-long-term crypto trends.