President Donald Trump declared the ceasefire with Iran over on Wednesday and threatened retaliatory strikes on key Iranian infrastructure. The announcement sent Bitcoin tumbling below $62,000 and triggered a wave of crypto liquidations totaling $450 million across major exchanges.
Trump's ceasefire reversal
Trump said the ceasefire, which had been in place for several weeks, was no longer tenable after what he described as Iranian violations. He warned of "swift and decisive" military action targeting Iranian oil refineries and nuclear facilities. The White House did not provide a timeline for potential strikes, but officials said preparations were underway.
Bitcoin slides below $62,000
Bitcoin fell sharply after the announcement, breaking below the $62,000 mark for the first time in two weeks. The drop accelerated as traders rushed to exit positions, with the broader crypto market losing roughly 4% in the hours following Trump's statement. Ethereum and other major altcoins also saw double-digit percentage declines.
The $450 million liquidation wave
Data from several tracking platforms showed that long positions bore the brunt of the sell-off. Liquidations exceeded $450 million, with the majority coming from leveraged Bitcoin and Ethereum futures. The last time liquidations reached this level was during a similar geopolitical shock in early 2026.
What traders are watching now
With no clear diplomatic off-ramp, the market is bracing for more volatility. The next key level for Bitcoin is $60,000, a psychological floor that held during previous sell-offs. Traders are also eyeing the U.S. dollar index, which strengthened on safe-haven flows, adding pressure on risk assets. The coming days will depend on whether Iran responds with its own threats or if backchannel talks resume.
