Israel Launches Attack on Iran, Crypto Market Crash [Live] Updates

Bitcoin is approaching a pivotal technical zone, with the descending channel support aligning near $63,100. This level now acts as the key line in the sand for short-term market structure. A decisive breakdown below $63.1K could invalidate hopes for a bullish Q1 and potentially open the door for deeper downside. For now, traders are closely watching price reaction at this support, as holding the level may keep recovery scenarios alive while a clean break would strengthen bearish momentum.

The crypto market saw a sharp sell-off after fresh geopolitical tensions between Israel and Iran spooked traders. Bitcoin dropped to around $63.6K while Ethereum slid to nearly $1.8K, triggering widespread panic. Roughly $75 billion was erased from the total crypto market cap within an hour as leveraged positions unwound rapidly. Analysts note that risk-off sentiment typically hits crypto fast during global conflicts, with elevated liquidations and volatility likely to persist in the near term.

Bitcoin plunged roughly $2,500 in just 45 minutes after reports of Israel striking Iran rattled global markets. The sudden sell-off triggered about $209 million in long liquidations within an hour, reflecting heavy leveraged exposure. Broader crypto sentiment also turned risk-off, wiping nearly $72 billion from total market value. Historically, geopolitical shocks spark rapid volatility in digital assets as traders rush to reduce risk, and the latest move highlights how quickly leveraged positions can unwind during macro-driven panic.

Bitcoin’s liquidation heatmap is heating up as heavy upside liquidity clusters emerge above the current price. Around $66,541, nearly $69.85 million in leveraged positions are at risk of being wiped out. The chart shows dense yellow bands stacked overhead, indicating significant short exposure. If Bitcoin delivers a strong upward move, it could trigger a rapid liquidation cascade, forcing short sellers to close positions and potentially accelerating bullish momentum in the near term.