Bitcoin Plunges Below $75K as US-Iran Tensions Wipe Out $945M in Crypto Leveraged Bets

TLDR:

• Bitcoin fell to $74,300 Saturday as US military preparations against Iran rattled crypto markets badly.
• Nearly $945 million in leveraged crypto positions were liquidated, mostly long bets caught off guard.
• The total crypto market cap dropped 3% to $2.5 trillion within 24 hours, per CoinGecko data released.
• Pakistan and Qatar are brokering talks, but negotiators report no real progress on any drafted deal.

Bitcoin dropped below $75,000 on Friday, extending losses into Saturday as geopolitical tensions between the United States and Iran rattled crypto markets.

The broader digital asset market shed roughly 3% of its total value within 24 hours, pushing the combined market cap to $2.5 trillion.

Leveraged traders absorbed the brunt of the damage, with nearly $945 million in positions wiped out across crypto exchanges during the period.

Source: Coingecko

Geopolitical Pressure Pushes Bitcoin to $74,300

Bitcoin touched a low of $74,300 on Saturday morning as risk sentiment deteriorated sharply. Reports emerged that the US military and intelligence community were preparing for possible strikes against Iran.

CBS News cited sources who confirmed preparations were underway, though no final decision had been reached on Friday.

President Trump canceled his planned attendance at Donald Trump Jr.’s wedding and returned to the White House.

This schedule change raised concern among traders and market observers watching the developing situation. Such visible shifts in presidential movement often signal heightened urgency behind closed doors.

The White House maintained its position that Iran must not obtain a nuclear weapon or retain enriched uranium. Officials reiterated that all military options remain on the table if Tehran rejects the latest American proposal.

Iran’s Revolutionary Guard responded by warning of severe retaliation and a possible widening of conflict beyond the Middle East region.

A new US proposal was delivered Wednesday through intermediaries, including Pakistan and Qatar. Both countries are working urgently to broker a last-minute agreement between the two sides.

However, negotiators described the process as difficult, with drafts exchanged daily but no meaningful progress recorded.

Leveraged Traders Take the Hardest Hit Amid Market Selloff

The sudden drop in sentiment caught many leveraged traders completely off guard in crypto markets. CoinGlass data shows approximately $945 million in leveraged positions were liquidated during the market downturn.

The bulk of those losses came from long positions, meaning traders were betting on continued price increases.

Ethereum and major altcoins followed Bitcoin lower as selling pressure spread across the market. The total crypto market capitalization fell 3% to $2.5 trillion within 24 hours, according to CoinGecko data.

Broad-based losses of this kind typically reflect macro-driven fear rather than any crypto-specific development.

Fears around the Strait of Hormuz added another layer of concern for markets already on edge. A disruption to that critical oil shipping lane could push energy prices higher and complicate inflation expectations globally. Rising inflation tends to reduce appetite for speculative assets, including cryptocurrencies.

The fragile ceasefire reached in early April between the US and Iran had briefly stabilized conditions. That calm now appears increasingly uncertain as military preparations and diplomatic tensions run parallel.

Until clearer signals emerge from negotiations, crypto markets are likely to remain sensitive to any escalation in the region.

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