- Bitcoin fell to $69,192 over the weekend, reversing last week’s rally as Trump’s 48-hour ultimatum to Iran raised geopolitical tension
- About $299 million in crypto positions were liquidated in 24 hours, mostly long bets, while major tokens like ether, XRP and solana also declined
Bitcoin reversed last week’s advance over a volatile weekend, as escalating tensions between the United States and Iran drove traders out of risk positions. The largest cryptocurrency slid to $69,192 on Sunday morning, erasing its recent gains in a move tied closely to a new 48-hour ultimatum issued by U.S. president Donald Trump over the closure of the Strait of Hormuz.
Bitcoin retreats as geopolitical risk spikes
The latest pullback left Bitcoin down 2.2% over the previous 24 hours and 3.1% for the week. The move came after Trump warned late Saturday that Iran had 48 hours to reopen the Strait of Hormuz to commercial vessels or face strikes on its power plants. He said he would “hit and obliterate” the country’s power infrastructure, starting with the largest facilities, if shipping lanes were not restored.
This weekend stance sharply contrasted with Trump’s comments on Friday, when he spoke of possibly “winding down” the military operation. That rapid shift from talk of de-escalation to threats against civilian energy assets within a day unsettled a crypto market that had spent the prior week pricing in a calmer outlook. The result was a swift reassessment of risk that hit Bitcoin and other major tokens almost simultaneously.
The Strait of Hormuz remains effectively closed to most commercial traffic, with around 20% of global oil and gas flows still disrupted. With the 48-hour window set to expire on Monday evening, traders are now focused on the possibility of strikes against power infrastructure, which would mark the first direct attacks on civilian energy systems in the conflict.
One-sided Bitcoin positioning triggers heavy liquidations
Leverage data highlighted how exposed the market was heading into the weekend. CoinGlass figures showed total crypto liquidations of $299 million over the past 24 hours across 84,239 traders. Long positions made up about 85% of that amount, with $254 million in long liquidations, underscoring how skewed sentiment had become after an extended run higher.
Bitcoin longs bore the brunt of the move, absorbing $122 million in losses. Ether long positions followed with $95.7 million in liquidations. The largest single event was a $10 million BTC-USDT swap on OKX, reflecting how concentrated some of the leverage had become.
The imbalance between long and short positions confirmed that traders were positioned heavily for further upside in Bitcoin after eight straight days of gains, leaving the market vulnerable to a sharp reversal on negative headlines. Last week’s climb to $75,912 now appears to have been rooted in expectations of a ceasefire that did not materialize. When those hopes faded over the weekend, leveraged long bets in Bitcoin unraveled quickly, amplifying the price drop as positions were forcibly closed out.
Wider crypto market follows Bitcoin lower
The broader digital asset market moved largely in tandem with Bitcoin’s retreat. Ether slipped 1.8% to $2,114, while XRP declined 2.5% to $1.41. BNB was down 1.4% at $633. Solana fell 2.1% to $88.55, and dogecoin dropped 2.7% to $0.092. The synchronized selling pointed to a broad reduction in risk appetite rather than token-specific news.
On a weekly basis, only two of the major cryptocurrencies managed to stay in positive territory. Ether was up 0.8% over seven days, and solana gained 0.7%. All other leading tokens were negative on the week, reflecting the shift in sentiment that followed the renewed geopolitical uncertainty. Bitcoin’s weekly decline put it among the many assets that surrendered earlier advances amid the deteriorating outlook around the Strait of Hormuz.
Macro backdrop and risk sentiment around BTC
The retreat in Bitcoin came despite a monetary policy decision that, in other circumstances, might have supported risk assets. The Federal Reserve kept interest rates unchanged on Wednesday and signaled a slightly dovish tone. Under normal conditions, that stance could have encouraged more aggressive positioning in assets like Bitcoin.
Instead, the market’s attention stayed locked on the potential for further escalation in the Middle East. With roughly one-fifth of the world’s oil and gas shipments still disrupted and a clear deadline for possible strikes on power infrastructure, traders appeared reluctant to make large directional bets. The combination of a heavily long Bitcoin market, a sharp change in war-related rhetoric, and an already fragile macro backdrop resulted in a swift unwind of optimism built up during the prior week’s rally.
Conclusion
Bitcoin’s drop to $69,192 over the weekend underscored how quickly sentiment can shift when geopolitical risk rises. A market heavily positioned for continued gains was forced to reset after Trump’s 48-hour ultimatum to Iran over the Strait of Hormuz, triggering large-scale liquidations and broad declines across major tokens. While the Federal Reserve’s steady rate stance offered a supportive backdrop on paper, the persistent threat of conflict and potential strikes on civilian power systems kept traders cautious, leaving Bitcoin and the wider crypto market on uncertain footing as the deadline approaches.
Disclaimer
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