Ethereum, XRP, Solana, Dogecoin and Cardano dropped between 8% to 12%.
The crypto market saw a sudden and sharp crash after news of U.S. and Israel strikes Iran, raising geopolitical tensions in the Middle East. In just one hour, the total crypto market cap fell 5.42%, wiping out billions in recent gains. Bitcoin dropped nearly 6%, falling to around $63,410.
This quick sell-off has pushed the entire crypto market back into EXTREME FEAR once again.
Israeli Defence Minister Israel Katz confirmed that the country launched what he described as a “pre-emptive” missile attack against Iran. Reports also indicated that the United States took part in the strikes.
Following the attack, Iran’s official stated that Tehran is preparing a response to the US-Israeli action, warning that counterattacks could be severe.
The situation escalated after talks between the US and Iran over Tehran’s nuclear programme ended without a clear resolution, with further discussions expected next week.
The sell-off triggered a wave of forced liquidations across crypto derivatives markets. According to CoinGlass data, 152,275 traders were liquidated in the past 24 hours, with total liquidations reaching $515 million.
The largest single liquidation occurred on Aster in the BTCUSDT pair, valued at $11.17 million.
The spike in liquidations surges the volatility, accelerating the downward pressure as leveraged positions were wiped out.
Bitcoin dropped sharply after reports of a US and Israel Strike Iran. Just 2 days ago, Bitcoin had jumped to $70,000, but it quickly erased those gains and fell to around $63,556.
Now, with all eyes on Iran’s possible retaliation, global markets remain tense. This has increased volatility across risk assets.
Experts are now watching whether Bitcoin can hold above the key psychological level of $60,000 or not.
The recent drop in bitcoin price wasn’t limited to bitcoin alone. The overall crypto market also saw heavy losses, as Ethereum fell about 9%, dropping below $1,850.
Other large cap altcoin, including XRP, declined 8% to now trading near $1.29. Meanwhile, Solana, Dogecoin, Cardano, and Chainlink recorded sharp losses between 8% and 12% within hours.
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