On April 11, the U.S. and Iran held talks in Islamabad, which were brokered by trusted Pakistani officials, on the possibility of a peace deal. This follows both parties’ announcement of a two-week ceasefire on April 7. However, after 21 hours of negotiations, neither the U.S. nor Iran could reach an agreement. 

The market reacted sharply to the news of the breakdown in peace talks, with Bitcoin dropping from $73,000 to around $70,000 and XRP falling from $1.36 to $1.32. Although the two countries could still reach an agreement, the damage has been done again—crypto liquidations over the last 24 hours have crossed $277 million. As the bearish market pressure intensifies, the most important question right now is how much worse…