Bitcoin falls below $64,000 after US and Israel launch strikes on Iran

Saturday 28 February 2026 - 07:00

By: Dakir Madiha

Bitcoin falls below $64,000 after US and Israel launch strikes on Iran

Bitcoin dropped sharply below $64,000 on Saturday after coordinated airstrikes by the United States and Israel targeted multiple Iranian cities, fueling fears of broader conflict in the Middle East and triggering a rush out of risk assets. The world’s largest cryptocurrency fell from around $65,500 to $63,700 in less than half an hour. Market data showed over $100 million in leveraged long positions liquidated within minutes of the news.

Ethereum slid more than 8 percent to about $1,870, while other major tokens such as XRP and BNB also saw heavy losses. According to derivatives tracking data, over 135,000 traders had positions forcibly closed in 24 hours, with total liquidations surpassing $445 million. The overall market capitalization of digital assets dropped to roughly $2.17 trillion overnight.

As traditional markets remained closed for the weekend, cryptocurrencies absorbed the full impact of geopolitical uncertainty. Analysts described the sell-off as an early sign of investors shifting to safe-haven assets amid rising tension. Gold and the US dollar strengthened, while the Crypto Fear and Greed Index swung deeper into fearful territory.

Israel’s defense minister, Israel Katz, said the operation codenamed “Shield of Judah” aimed to prevent Iranian retaliation after weeks of escalating hostility. Explosions were reported in Tehran, Isfahan, Qom, Karaj, and Kermanshah, including near the presidential compound and the National Security Council headquarters. A senior US official confirmed Washington’s participation in the strikes, reported by The New York Times.

The assault followed failed nuclear talks between Washington and Tehran earlier in the week. President Donald Trump had previously called regime change in Iran “the best outcome possible,” while officials told Reuters that the US military planned for sustained operations rather than a limited intervention.

Israeli authorities have since ordered a nationwide shutdown of schools and workplaces except essential services, warning of potential missile strikes. The focus now shifts to Iran’s next move. Any escalation — such as attempts to disrupt shipping through the Strait of Hormuz, could push oil prices sharply higher and complicate the Federal Reserve’s monetary policy decisions.