Crypto Market Plunges Amid US-Iran Conflict

The cryptocurrency market experienced a sharp decline on Wednesday due to escalating tensions over geopolitical matters. US President Donald Trump stated that the memorandum of understanding with Iran is now 'over,' leading to uncertainty in the market. This caused Bitcoin to fall below $62,000, resulting in nearly $450 million worth of leveraged liquidations.

Data from CoinGlass shows that 145,221 traders were liquidated over the last 24 hours, totaling $449.63 million in liquidations. The losses on the long side were mainly at $343.43 million, with $106.20 million being on the short side. Binance had the largest liquidation, with a $7.24 million ETHUSDT position being liquidated.

The most liquidated cryptocurrencies were Bitcoin with $99.90 million and Ethereum with $90.67 million. Other cryptocurrencies experienced a collective $60.83 million in liquidations, and Solana had $24.19 million in liquidations. Selling activity was widespread throughout the market, with XRP seeing more than $9 million in liquidated positions.

Trump's comments came after a new escalation in the Middle East, where Iran's tough force announced it had responded to a series of US strikes and ratcheted up sanctions on Iran's export of oil. The uncertainty weighed heavily on risk assets such as crypto, causing Bitcoin price to fall below $62,000.