{"id":17571,"date":"2026-02-23T11:21:59","date_gmt":"2026-02-23T11:21:59","guid":{"rendered":"https:\/\/cryptoted.net\/index.php\/2026\/02\/23\/will-crypto-markets-crash-if-us-strikes-iran-within-hours\/"},"modified":"2026-02-23T11:21:59","modified_gmt":"2026-02-23T11:21:59","slug":"will-crypto-markets-crash-if-us-strikes-iran-within-hours","status":"publish","type":"post","link":"https:\/\/cryptoted.net\/index.php\/2026\/02\/23\/will-crypto-markets-crash-if-us-strikes-iran-within-hours\/","title":{"rendered":"Will crypto markets crash if US strikes Iran within hours?"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div>\n<p class=\"is-style-lead\">Crypto markets are flashing deep stress signals as geopolitical tensions surrounding a potential U.S. strike on Iran intensify and liquidity continues to drain from the system.<\/p>\n<div id=\"cn-block-summary-block_70bbec60a8b3d43e20615631723dc8fe\" class=\"cn-block-summary\">\n<p>\n        <span class=\"tabs__item is-selected\">Summary<\/span>\n    <\/p>\n<div class=\"cn-block-summary__content\">\n<ul class=\"wp-block-list\">\n<li>The Crypto Fear &amp; Greed Index has plunged to 5, signaling extreme panic as geopolitical tensions around a potential U.S. strike on Iran intensify.<\/li>\n<li>Bitcoin has dropped below key technical levels, while the broader crypto market has erased over $2.22 trillion \u2014 down more than 50% from its peak, marking one of the largest drawdowns in history.<\/li>\n<li>Despite the selloff, shrinking USDT supply down over $3 billion in 60 days suggests liquidity contraction that has historically appeared near late-stage market bottoms.<\/li>\n<\/ul><\/div>\n<\/div>\n<p><!-- .cn-block-summary --><\/p>\n<h2 class=\"wp-block-heading\">Iran strike fears spill into crypto markets<\/h2>\n<p>The Crypto Fear &amp; Greed Index has plunged to 5 \u2014 \u201cExtreme Fear\u201d, one of the lowest readings in years, showing panic-level sentiment. Historically, such extreme readings have only appeared during major market dislocations, including the 2020 COVID crash and the 2022 bear market lows.<\/p>\n<p>The collapse in sentiment mirrors Bitcoin\u2019s sharp drop below key technical levels, reinforcing the view that traders are positioning defensively amid geopolitical uncertainty.<\/p>\n<figure class=\"wp-block-image size-full is-resized\"><img loading=\"lazy\" decoding=\"async\" width=\"512\" height=\"445\" src=\"https:\/\/media.crypto.news\/2026\/02\/Screenshot-2026-02-23-160912.webp\" alt=\"Will crypto markets crash if US strikes Iran within hours? - 1\" class=\"wp-image-14451598\" style=\"width:593px;height:auto\"\/><\/figure>\n<p>    <!-- .cn-block-related-link --><\/p>\n<p>At the same time, prediction market <a href=\"https:\/\/polymarket.com\/event\/us-strikes-iran-by\" target=\"_blank\" rel=\"nofollow\">Polymarket<\/a> shows rising bets on possible <a href=\"https:\/\/crypto.news\/trump-warns-iran-of-attack-as-armada-arrives-crypto-market-at-risk\/\" target=\"_blank\">U.S. military action<\/a> in early March, with probabilities climbing steadily day by day, reflecting growing <a href=\"https:\/\/crypto.news\/gold-silver-climb-on-us-iran-tensions-as-btc-tests-support\/\" target=\"_blank\">geopolitical uncertainty<\/a> priced into markets.<\/p>\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"1190\" height=\"773\" src=\"https:\/\/media.crypto.news\/2026\/02\/Screenshot-2026-02-23-160942.webp\" alt=\"Will crypto markets crash if US strikes Iran within hours? - 2\" class=\"wp-image-14451599\"\/><figcaption class=\"wp-element-caption\">Traders bet on when U.S. will strike Iran | Source: Polymarket<\/figcaption><\/figure>\n<p>Meanwhile, <a href=\"https:\/\/crypto.news\/bitcoin-dips-under-64-5k-as-500m-liquidations-hit-140k-traders\/\" target=\"_blank\">price action<\/a> mirrors the anxiety. <a href=\"https:\/\/crypto.news\/bitcoin-price-prediction-60k-retest-us-tariffs-2026\/\" target=\"_blank\">Bitcoin has fallen<\/a> sharply from recent highs and is trading well below its 50-day moving average, while the broader crypto market has shed more than $2.22 trillion, down over 50% from its peak. <\/p>\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"1814\" height=\"915\" src=\"https:\/\/media.crypto.news\/2026\/02\/BTCUSD_2026-02-23_16-10-41.webp\" alt=\"Will crypto markets crash if US strikes Iran within hours? - 3\" class=\"wp-image-14451600\"\/><figcaption class=\"wp-element-caption\">Bitcoin price performance | Source: Crypto. News<\/figcaption><\/figure>\n<p>In a widely shared <a href=\"https:\/\/x.com\/coinbureau\/status\/2025856801280086078\" target=\"_blank\" rel=\"nofollow\">post<\/a>, Coin Bureau warned that \u201cCRYPTO MAY BE HEADING TOWARD ITS LARGEST CRASH EVER,\u201d noting that the current drawdown is now the second-biggest dollar loss in history, just $60 billion shy of the all-time record.<\/p>\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\">\n<div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">\u26a0\ufe0f CRYPTO MAY BE HEADING TOWARD ITS LARGEST CRASH EVER<\/p>\n<p>The magnitude of losses now places this selloff among the most severe events in market history.<\/p>\n<p>Over $2.22 TRILLION has already been erased, sending crypto down more than 50% from its peak.<\/p>\n<p>This is now the 2nd biggest\u2026 <a rel=\"nofollow\" href=\"https:\/\/t.co\/OoJzoJti4Q\">pic.twitter.com\/OoJzoJti4Q<\/a><\/p>\n<p>\u2014 Coin Bureau (@coinbureau) <a href=\"https:\/\/twitter.com\/coinbureau\/status\/2025856801280086078?ref_src=twsrc%5Etfw\" target=\"_blank\" rel=\"nofollow\">February 23, 2026<\/a><\/p><\/blockquote>\n<\/div>\n<\/figure>\n<p>Yet liquidity data suggests a more nuanced picture. Another Coin Bureau <a href=\"https:\/\/x.com\/coinbureau\/status\/2025834259777261659\" target=\"_blank\" rel=\"nofollow\">analysis<\/a> highlighted that USDT supply has fallen by more than $3 billion in 60 days, a contraction last seen during the FTX collapse. <\/p>\n<p>Historically, shrinking stablecoin supply signals capital leaving the market but similar conditions in 2022 marked Bitcoin\u2019s cycle bottom. <\/p>\n<p>Ultimately, while a potential U.S. strike on Iran could trigger another wave of short-term volatility, the data suggests markets may already be pricing in extreme risk. With sentiment at capitulation levels, over $2.22 trillion erased, and stablecoin liquidity contracting to levels previously seen near cycle lows, the conditions resemble late-stage selloffs more than the early phases of a collapse.<\/p>\n<p>    <!-- .cn-block-related-link --><\/p><\/div>\n<p><script async src=\"\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><br \/>\n<br \/><br \/>\n<br \/><a href=\"https:\/\/crypto.news\/will-crypto-markets-crash-if-us-strikes-iran\/\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Crypto markets are flashing deep stress signals as geopolitical tensions surrounding a potential U.S. strike on Iran intensify and liquidity continues to drain from the system. Summary The Crypto Fear &amp; Greed Index has plunged to 5, signaling extreme panic as geopolitical tensions around a potential U.S. strike on Iran intensify. Bitcoin has dropped below [&hellip;]<\/p>\n","protected":false},"author":5,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"tdm_status":"","tdm_grid_status":"","footnotes":""},"categories":[23],"tags":[],"kronos_expire_date":[],"class_list":["post-17571","post","type-post","status-publish","format-standard","hentry","category-crypto"],"_links":{"self":[{"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/posts\/17571","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/comments?post=17571"}],"version-history":[{"count":0,"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/posts\/17571\/revisions"}],"wp:attachment":[{"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/media?parent=17571"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/categories?post=17571"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/tags?post=17571"},{"taxonomy":"kronos_expire_date","embeddable":true,"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/kronos_expire_date?post=17571"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}