Bitcoin Falls Below $100,000, XRP and Dogecoin Hit 2-Month Lows Amid Geopolitical Tensions
Cryptocurrency markets are facing an unprecedented sell-off in recent weeks. On Sunday morning, Bitcoin officially fell below the $100,000 mark for the first time since early May amid US airstrikes on Iran's nuclear facilities, significantly escalating tensions in the Middle East and negatively impacting global market sentiment.
According to data from CoinGecko, Bitcoin's price has fallen more than 3% in the past 24 hours, trading around $99,843. Ethereum, the second-largest cryptocurrency, has fallen more sharply, down 10%, currently trading at $2,171, its lowest in the past 45 days.
Escalating Conflict: US Launches “Operation Midnight Hammer”
The main driver of this sell-off was tense geopolitical news. On Saturday evening, President Donald Trump announced that the US had launched “Operation Midnight Hammer”, airstrikes on three major Iranian nuclear facilities in response to escalating military actions in the region. This was the first time Washington has officially gotten directly involved in the Israel-Iran conflict since tensions escalated earlier this year.
The event immediately sent shockwaves through global financial markets, especially the cryptocurrency sector, which is known for its sensitivity to political and economic instability.
XRP, Solana, and Dogecoin Hit Two-Month Lows
While Bitcoin and Ethereum led the decline, altcoins were not immune to the sell-off. XRP is now down to $1.95, its lowest price since April. Dogecoin also plunged to $0.147, down more than 6% in just one day. Solana (SOL) is currently trading around $127, having lost almost all of its gains in May.
While the intraday declines for these altcoins are not as steep as Ethereum’s, the overall trend shows a sharp decline in value and market confidence in risk assets.
Over $949 Million in Liquidations
According to data from the CoinGlass platform, nearly $950 million in positions were liquidated across the crypto market in the past 24 hours alone. Of these, about $849 million were long positions, meaning traders were betting that the price would rise. This figure suggests that the majority of investors were “rekt” due to the price going against their expectations.
Ethereum was the most heavily liquidated coin, with a total of $369 million in positions wiped out. Bitcoin came in second with $242 million, reflecting heavy selling pressure from highly leveraged investors.
Market sentiment turns negative
The turmoil in the Middle East is causing digital asset markets to react like traditional assets: fleeing risk and seeking safety. The US dollar is rising sharply, while the VIX anxiety index on Wall Street is also showing signs of rising, indicating a widespread risk-off sentiment globally.
According to a survey by Myriad, nearly 65% of users now think that Bitcoin is more likely to fall below $95,000 than return to its record high of $115,000 in the short term. Just days ago, the majority of the market was still expecting Bitcoin to set a new high.
Short-term outlook: Risks remain
The US attack on Iran marks a dangerous turning point in an already tense global geopolitical landscape. Analysts warn that if Iran responds with military action, the situation will continue to escalate, causing further selling pressure on risk assets including cryptocurrencies.
With the total crypto market capitalization down 4.4% in just one day to $3.25 trillion, this correction may not be the end if the military-political crisis continues to flare up.
Conclusion
The crypto market is going through one of its most sensitive periods since early 2025, when macro fluctuations are beyond the control of the market. The US's official military intervention in the Middle East is a major destabilizing factor, pushing risk assets such as Bitcoin, Ethereum and altcoins into a sell-off spiral.
Investors should closely monitor further developments related to Iran, Israel and the US, and adjust their investment strategies in accordance with the hourly changing geopolitical and macro signals. In the coming time, the market trend will likely continue to be negative if there are no signs of cooling down from the Middle East region.