Why Is Crypto Crashing? The Real Reasons Behind Today’s Market Drop



1. Geopolitical Turmoil – Middle East Unrest

Heightened tensions between Israel and Iran have spooked investors, triggering a broad “risk-off” mood. Bitcoin briefly dipped below $99,000 following military strikes, and altcoins slid up to 4% in response

Traditionally seen as a potential safe haven, crypto hasn’t benefited; instead, it’s being sold off alongside risk assets due to global uncertainty .

2. Rising Macro and Fed Uncertainty

Investors are closely watching June’s U.S. CPI, unemployment figures, and the Federal Reserve’s policy. Shifts in rate expectations and macroeconomic signals have historically jolted crypto prices .

This month, mixed inflation data and lack of Fed clarity have fueled hesitancy, chipping away at crypto sentiment.

Crypto is under pressure from a “perfect storm” of geopolitical instability, macroeconomic uncertainty, and shifting institutional flows. While some see these dips as temporary, crypto remains highly sensitive to global events—especially rate decisions, ETF movements, and geopolitical shocks.