Bitcoin plummeted below $78,000 on Saturday, extending its price weakness amid growing geopolitical tensions and political uncertainty in the U.S. The world's largest cryptocurrency fell over 7% in 24 hours, trading around $77,000 according to CoinDesk data. Trading volumes thinned into the weekend, leaving prices vulnerable to abrupt moves.

The geopolitical risks deepened after an explosion at Iran’s Bandar Abbas port, a critical shipping hub, and escalating tensions following a post by Trump on Truth Social. These events nudged investors away from riskier assets, including Bitcoin. The incident added to already elevated tensions between Tehran and Washington.

According to Russell Thompson, Chief Investment Officer at Hilbert Group, this sell-off is broad-based, influenced by event risks and political saber-rattling. Chris Soriano, co-founder of BridgePort, attributed the swift declines to thin order books and forced deleveraging, describing it as a 'mechanical failure' of liquidity.

Political uncertainty in the U.S. also weighed on markets, with a brief federal government shutdown over the weekend. Crypto-specific factors, including negative flows into spot Bitcoin ETFs and ongoing industry disputes, compounded the selling pressure. Traders are now watching key support levels, with $75,000 being a crucial point of interest.