Iran grapples with two challenges: currency depreciation and the loss of a key regional ally.

• On the weekend, the value of Iran's currency, the rial, reached a new low of 756,000 rials to the dollar.
• Since September, Iran's proxies have caused devastating hits to the embattled currency, resulting in ripple effects.
• The fall of Syrian President Bashar al-Assad resulted in Tehran losing its most significant ally in the Middle East.

In recent years, Iran is facing its worst crises, including a deteriorating economy and a series of unprecedented geopolitical and military challenges to its power in the Middle East.

On the weekend, Iran's currency, the rial, reached a new low of 756,000 to the dollar, according to Reuters. The currency has been affected by the impact of Iran's proxies, including Hezbollah and Hamas, as well as the election of Donald Trump as the US president.

The fall of Syrian President Bashar al-Assad due to a surprise attack by rebel groups resulted in Tehran losing its key ally in the Middle East. Assad, who is charged with committing atrocities against his own people, escaped to Russia and left behind a deeply divided nation.

"The fall of Assad has significant consequences for the Islamic Republic, according to Behnam ben Taleblu, a senior fellow at the Foundation for Defense of Democracies in Washington. "It is important to remember that the regime has invested a great deal of time, money, and resources in maintaining its power, only for it to collapse in a matter of weeks," he said."

The decline of the currency reveals the difficulties faced by Iranians, who struggle to buy basic necessities and experience high inflation and unemployment due to years of Western sanctions, corruption, and poor economic management.

Trump has vowed to adopt a tough stance on Iran and will be returning to the White House approximately six years after withdrawing the U.S. from the Iranian nuclear agreement and imposing extensive sanctions on the country.

The Iranian government is open to negotiating and reviving the Joint Comprehensive Plan of Action, which eased some sanctions on Iran in exchange for limitations on its nuclear program. However, this attempt to engage comes at a time when the International Atomic Energy Agency reports that Tehran is enriching uranium at unprecedented levels, with uranium purity reaching 60%. This is just a small technical step away from the weapons-grade purity level of 90%.