US Airstrikes Hit Crypto Markets as Iran Conflict Escalates

US airstrikes against Iranian military installations have caused over 260 casualties and triggered a downturn in crypto markets, with Bitcoin falling by 2% to around $62K. The largest cryptocurrency's price drop was accompanied by approximately $350 million in liquidated leveraged positions across digital assets.

The conflict between the US and Iran has been ongoing since February, with previous ceasefires lasting only brief periods before collapsing under renewed hostilities. On June 17, a ceasefire was agreed upon but lasted just 21 days before being terminated by President Trump due to what he described as Iranian aggression towards commercial shipping in the Strait of Hormuz.

Crypto markets are treating this latest escalation as a risk-off event, with investors liquidating leveraged positions and pushing prices lower. This has triggered a self-reinforcing cascade of forced selling, which has pushed prices lower still.