Iran-US Conflict Sparks $128 Billion Crypto Selloff

The recent exchange of strikes between the US and Iran sent shockwaves through global markets, including cryptocurrency. On July 14, Iranian missiles struck the Al-Azraq Air Base in Jordan, killing two US service members.

The US responded with retaliatory airstrikes targeting Iranian positions, marking a significant escalation in a region already fraught with tension.

The crypto market took a hit, with Bitcoin's price dropping below $64,000 from its pre-strike level of near $65,500. An estimated $128 billion was wiped from the total cryptocurrency market capitalization during the escalation.

The CoinDesk 20 Index, which tracks the performance of the largest digital assets, dropped by as much as 2.9% in response to the rising tensions. Ether moved in lockstep with Bitcoin, and no specific altcoins or DeFi protocols were singled out as particularly affected.