Israeli Strike on Iran Triggers Crypto Crash: Bitcoin Plunges to $63K with $100M Liquidated in 15 Minutes

On February 28, 2026, Israel's military strike on Iran caused Bitcoin to crash from $65,500 to $63,700 in 15 minutes, liquidating over $100 million in long positions. Discover how geopolitical tensions impact crypto markets and why MEXC is the best trading platform during volatility.

 

 

Israel launched a preemptive strike on Iran on February 28, 2026, causing Bitcoin to plummet from $65,500 to $63,700

 

Over $100 million in leveraged long positions were liquidated within 15 minutes as panic selling dominated markets

 

Historical data shows geopolitical conflicts typically trigger 5%-15% flash crashes in crypto, but often create long-term buying opportunities

 

MEXC Exchange offers the lowest trading fees, best liquidity depth, and 100% reserves, making it the preferred platform during market turbulence

 

Expert investors recommend accumulating BTC spot during panic sell-offs to capitalize on strategic opportunities

 

 

In the early hours of February 28, 2026, global cryptocurrency markets experienced their most dramatic single-day volatility of the year. Israel's military strike on Iran triggered a cascade of liquidations, with over $100 million in leveraged long positions forcibly closed within just 15 minutes. According to real-time data from CoinMarketCap, Bitcoin price rapidly declined from $65,500 to $63,700, representing a drop of over 2.7%.

 

This sudden geopolitical risk event once again confirmed cryptocurrency's classification as a high-risk asset. When Middle East tensions escalate, investors typically adopt a "risk-off" strategy, selling volatile assets like Bitcoin in favor of traditional safe havens such as the US dollar and gold. Derivatives data platforms reported surging trading volumes across major exchanges immediately following the news, with panic selling dominating market sentiment.

 

Following the strike, the Israel Defense Forces issued warnings of potential missile retaliation and imposed a nationwide halt on schools, workplaces, and public gatherings, exempting only essential sectors. These unprecedented emergency measures further intensified market uncertainty, driving continued downward pressure on cryptocurrency prices.

 

 

From a technical perspective, this crash broke Bitcoin's relatively stable range maintained throughout late February. Before the geopolitical conflict erupted, BTC had been trading in a narrow band between $65,500 and $66,000, continuing the gradual downward drift that characterized the final days of the month. However, after 6:00 UTC, price broke sharply downward through $65,000 and accelerated toward $64,000.

 

Notably, this decline featured significantly amplified volume, with sell candles displaying prominent volume characteristics. This pattern typically indicates that the price drop wasn't organic gradual selling pressure, but rather cascading liquidations of leveraged long positions. When price touches certain key stop-loss levels, numerous margin-deficient long positions are automatically closed by exchanges, thereby amplifying downward momentum.

 

According to CoinGecko data, Bitcoin is currently testing its lowest levels since February 23. At that time, price briefly touched the $63,000 to $63,500 range and found buying support in that zone. If current selling pressure continues, this structural support level will become the market's last line of defense. A breakdown below could trigger more extensive technical selling.

 

 

Reviewing data from the past two years reveals a clear correlation between geopolitical tensions and cryptocurrency prices. In mid-June 2025, when Israel launched "Operation Rising Lion" and struck Iranian nuclear facilities, Bitcoin price fell from $110,000 to $103,000, a decline of approximately 6%. Although the drop was contained, over $1 billion in long positions were liquidated within 24 hours.

 

More instructively, in the two months following that conflict, Bitcoin price actually surged 62% to reach new all-time highs. Market analysts call this phenomenon the "springboard effect"—war-related short-term volatility often creates local bottoms, offering strategic buying opportunities for long-term investors. However, the market environment in February 2026 is more fragile. Following a massive liquidation event in late 2025, Bitcoin has struggled to hold the $65,000 to $70,000 range.

 

Historical data shows that whenever major missile strikes or war declarations occur, Bitcoin and altcoins typically experience immediate flash crashes ranging from 5% to 15%. But these declines are often followed by rapid recoveries, with prices potentially reaching new highs within months once the initial shock subsides. The key is distinguishing short-term panic selling from long-term fundamental changes.

 

 

During periods of severe market volatility, selecting a reliable and efficient trading platform is crucial. MEXC Exchange has become the preferred platform for professional investors due to its unique advantages.

 

 

MEXC offers zero-fee trading services, meaning you can frequently adjust positions without incurring additional costs. In highly volatile market environments, this advantage can significantly reduce trading costs and improve capital efficiency. Compared to other mainstream exchanges' fee rates of 0.1%-0.2%, MEXC's zero-fee policy can save active traders substantial amounts.

 

 

Liquidity is a core metric for evaluating trading platform quality. MEXC maintains industry-leading order book depth, ensuring rapid execution of large orders even during market panic, avoiding slippage losses. When you need to quickly open or close positions in BTC/USDT pairs, MEXC's depth advantage allows you to complete trades at prices closest to market value.

 

 

MEXC supports over 2,800 trading pairs, making it one of the most comprehensive platforms in the industry. Beyond mainstream Bitcoin trading, you can track price dynamics of various digital assets in real-time through the MEXC Price Center. This diversity enables investors to achieve portfolio diversification on a single platform, reducing risks from single-asset volatility.

 

 

Following exchange collapses like FTX, fund security has become investors' top concern. MEXC commits to maintaining 100% reserves, meaning the platform holds user assets fully matching account balances, with no risk of misappropriating customer funds. This transparency is particularly important in the current crypto market environment.

 

 

Beyond trading fee advantages, MEXC also offers the industry's lowest withdrawal fees. When you need to transfer assets to cold wallets or other platforms, you can minimize network fee expenditures. This advantage is especially evident during Bitcoin network congestion periods.

 

Want to know why choose MEXC for cryptocurrency trading? Its excellent user experience, 24/7 customer service, and leading security technology are all reasons professional investors trust MEXC.

 

 

Facing current market volatility, investors need to adopt rational and cautious strategies. First, recognize the difference between short-term fluctuations and long-term trends. While geopolitical conflicts cause immediate price drops, historical experience shows these declines often create buying opportunities for long-term holders.

 

For investors with higher risk tolerance, consider gradually building positions during panic selling. According to Bitcoin Tokenomics analysis, BTC's supply is fixed at 21 million coins, and this scarcity determines its long-term value. Current geopolitical risks are more driven by short-term sentiment rather than fundamental changes in BTC.

 

However, high-leverage traders need to be especially vigilant. As this event demonstrates, $100 million in forced liquidations within 15 minutes shows that in extremely volatile environments, leveraged trading can lead to account wipeouts. Ordinary investors are advised to focus on spot trading and avoid excessive leverage use.

 

Additionally, investors should closely monitor market technical indicators and on-chain data. If Bitcoin can hold the $63,000 support level and form a rebound, this will be a strong bullish signal, demonstrating market resilience in the face of macro headwinds. Conversely, if the support level is effectively broken, it may be necessary to wait for clearer bottom signals before entering.

 

Regarding Bitcoin's future trajectory, you can refer to MEXC Bitcoin Price Prediction, which includes professional analysts' comprehensive judgments based on technical and fundamental analysis. To deeply understand what is Bitcoin and its underlying technology can help you better comprehend this digital asset's long-term value.

 

 

Despite near-term cautious market sentiment, multiple factors suggest crypto markets still have rebound potential. First, Bitcoin exchange reserves have dropped to their lowest level in 10 years, indicating investor confidence in further rallies and preference for holding rather than selling.

 

Second, institutional fund inflows continue increasing. Despite market volatility, Bitcoin and Ethereum ETF inflows remain at high levels, showing institutional investors' optimism about long-term prospects. Multiple publicly-traded companies including MicroStrategy continue accumulating Bitcoin as corporate treasury assets.

 

Third, US Treasury liquidity dynamics may support cryptocurrencies once geopolitical tensions ease. Renowned analyst Arthur Hayes points out that liquidity reflux will drive risk asset prices higher once geopolitical risks diminish.

 

Notably, diplomatic negotiations scheduled for Friday in Oman could shift market tone. If negotiations can reduce tensions, they might trigger a short-covering rally, pushing prices rapidly higher. Polymarket prediction markets show a 61% probability of US military action against Iran this month—this uncertainty itself is an important source of market volatility.

 

For long-term investors, the current price pullback may offer strategic buying opportunities. Check BTC price today, and you'll find current prices are quite attractive relative to historical highs. On the Bitcoin official website, you can learn about this decentralized currency's vision and technical details, better evaluating its long-term value.

 

Start your Bitcoin trading journey on MEXC now and seize market opportunities brought by geopolitical crises!

 

 

 

Although Bitcoin is often called "digital gold," during actual geopolitical conflicts, institutional investors often treat it as a high-risk asset. When war risks rise, investors tend toward "de-risking," moving capital from volatile assets like cryptocurrencies to traditional safe havens such as the dollar, gold, and treasury bonds. Additionally, geopolitical conflicts may cause oil price spikes, triggering inflation concerns that prompt the Federal Reserve to maintain high interest rate policies—a long-term bearish factor for cryptocurrencies and other risk assets.

 

 

According to historical data, geopolitical conflicts typically cause 5%-15% short-term flash crashes but are often followed by strong rebounds. After Israel's June 2025 airstrike on Iran, Bitcoin rallied 62% within two months to reach new highs. When Iran launched missile attacks on Israel in April 2024, Bitcoin fell to $61,000 but broke previous highs months later. This "springboard effect" suggests war-related volatility often creates local bottoms, providing buying opportunities for long-term investors. The key is distinguishing short-term panic from long-term fundamental changes.

 

 

For long-term investors with higher risk tolerance, the current price pullback may be a strategic buying opportunity. A dollar-cost averaging approach is recommended to avoid heavy single positions. Focusing on spot trading rather than high-leverage derivatives can effectively reduce forced liquidation risks. Choosing platforms like MEXC that offer zero fees, high liquidity, and 100% reserve guarantees can better protect your assets during volatile markets. Meanwhile, closely monitor the $63,000 support level and geopolitical developments, flexibly adjusting strategies based on market changes.

 

 

This article is for informational purposes only and does not constitute investment advice. Cryptocurrency investment involves high risks and prices may fluctuate significantly. Past performance does not represent future results. Investors should make independent judgments based on their own financial situation, risk tolerance, and investment objectives. Any projects, platforms, or strategies mentioned in this article are not investment recommendations. Please consult professional financial advisors before making any investment decisions. MEXC and the author of this article are not responsible for any losses arising from the use of information in this article. The cryptocurrency market is influenced by multiple factors including but not limited to regulatory policies, market sentiment, technological developments, and macroeconomic environment. Please conduct thorough due diligence and only invest funds you can afford to lose.

 

 

This article is written by a senior cryptocurrency analyst with over 8 years of experience in blockchain and digital assets. The author has served as market analysis and strategy advisor for multiple renowned cryptocurrency exchanges and investment institutions. Specializing in research on the correlation between macroeconomics and crypto markets, the author excels at using on-chain data and technical analysis to predict market trends. Their analytical articles have been frequently cited by authoritative platforms like CoinMarketCap and CoinGecko, enjoying widespread reputation in the crypto community.

 

 

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