Geopolitical Risks Cause Tremors in the Crypto Market!

Tensions have risen again in the Middle East. After #Israel launched large-scale airstrikes on Iran, not only political and military balances but also global financial markets were severely affected. Cryptocurrencies, which are among the asset groups with high risk, have been the fastest to respond in such uncertain times.

As investors turned to safe havens, there was a sharp sell-off in the cryptocurrency market. Leading cryptocurrencies such as Bitcoin, Ethereum, $SOL and $XRP saw declines approaching double-digit rates.

Sharp Losses in Bitcoin and Ethereum: Critical Supports Exceeded

As of Friday, the Bitcoin price fell by 3.68% to $103,928. Losses were much deeper in Ethereum. The leading altcoin fell by 9.58% to $2,503. XRP fell by 6.83% to $2.09, while Solana lost 10% to $143.41.

The declines in question caused great destruction not only in price charts but also in futures positions.

$1 Billion Long Position Deleted!

According to data analysis platform Coinglass, over $1 billion worth of long (buy) positions were liquidated in the cryptocurrency markets in the last 24 hours. Long positions worth $427.84 million were closed on the Bitcoin side alone. This development clearly shows how quickly investors change positions in the face of geopolitical risks.

These harsh liquidations also dealt a serious blow to the gradual upward trend that has been ongoing since the last quarter of 2024. Bitcoin had climbed to $110,265 at the beginning of the week when the attacks took place. This level was very close to the all-time peak of $111,940 reached in May.

Airstrikes and Mutual Retaliation: Crisis Deepens

Israel launched a massive airstrike on military and nuclear facilities in various parts of Iran, including the capital Tehran, on Thursday night. More than 100 targets were hit in the operation involving approximately 200 warplanes. Iranian state television reported that the strikes killed senior nuclear scientists and Iranian Revolutionary Guard Commander Hossein Salami.

Israeli Prime Minister Benjamin Netanyahu stated that the operations were aimed at Iran’s nuclear capacity and that the attacks would continue until the threat was completely eliminated. Iran launched a counter-attack with more than 100 unmanned aerial vehicles (UAVs) in retaliation.

US Secretary of State Marco Rubio publicly stated that the US had nothing to do with the attacks. However, even this statement was not enough to calm the panic in the markets.

A Flight to Safe Havens: Gold and Oil on the Rise

Investors turn to assets traditionally seen as “safe havens” during such times of crisis. In fact, while the price of gold increased by 1.44%, oil prices increased sharply by 9%. In contrast, cryptocurrencies with high volatility and no regulation came under severe selling pressure.

Conclusion: Trust in Crypto Undermined in the Shadow of War

The hot conflict environment between Israel and Iran threatens not only regional security but also global markets. In this process, cryptocurrencies have been the most damaged asset class due to their risky nature. While leading cryptocurrencies such as Bitcoin and Ethereum have lost significant value.

#IsraelIranConflict #MarketPullback #TrumpTariffs #CryptoRoundTableRemarks