Crypto Market Plummets 10% Amid U.S.-Iran Tensions

The cryptocurrency market has experienced a significant downturn over the past 24 hours, with a mix of geopolitical tensions, technical breakdowns, and mass liquidations driving a sharp sell-off. The immediate trigger for this market crash was a major geopolitical event: U.S. airstrikes on Iranian nuclear sites on June 22. Ordered by President Donald Trump, the attack escalated fears of a broader conflict in the Middle East, leading to a global "risk-off" sentiment. This sentiment prompted investors to sell off riskier assets, including cryptocurrencies, in favor of safer options such as gold and the U.S. dollar.

As a result of this geopolitical turmoil, over $636 million in crypto leveraged positions were liquidated, causing significant shockwaves throughout the market. Bitcoin (BTC) was one of the hardest hit, plummeting sharply to $100,000 before managing a partial recovery. Despite this bounce, the overall market sentiment remains fragile. Ethereum (ETH) also faced heavy selling pressure, falling over 10% in a single day to around $2,196. XRP, another major cryptocurrency, dropped nearly 9% to trade at $1.97. Other cryptocurrencies like Solana (SOL), Cardano (ADA), and Dogecoin (DOGE) also suffered losses ranging from 7% to 15%.

Analysts warn that unless tensions between the U.S. and Iran ease, cryptocurrencies are likely to remain under pressure. The market's focus is now on whether Bitcoin can hold above the $100,000 support level. If it fails to do so, further losses could drag the market even lower. The Crypto Fear & Greed Index currently sits at 40, indicating a neutral sentiment, but this could quickly swing toward "Fear" if geopolitical tensions intensify in the coming days. The crypto market is currently more influenced by geopolitical events than by technical patterns, and until the situation stabilizes, volatility is expected to remain high.