Crypto liquidations wiped out roughly $238 million over the weekend after President Trump signaled readiness for intensified strikes on Iran, with long positions absorbing most of the damage. Bitcoin and major altcoins slipped on the risk-off move as reports emerged that officials discussed completing strikes before Monday's market open. The flush extends a pattern seen through 2026, in which US-Iran escalation has repeatedly triggered single-day liquidation waves.
Crypto liquidations wiped out roughly $238 million over the weekend after President Donald Trump signaled readiness for intensified military strikes on Iran. Longs absorbed the bulk of the damage, per CoinGlass data, as traders rushed to cut risk exposure.
Trump's Warning Rattles Leveraged Traders
Speaking at a Friday cabinet meeting at Camp David, Trump said he is losing faith in Tehran. According to CoinGape, he added that the US would be "hitting them very hard," and that Iran misrepresents US intentions while the goal is simply to prevail.
Meanwhile, reports from the Wall Street Journal and CBS indicated officials discussed completing strikes before Monday's market open to limit economic disruption. As a result, Bitcoin and major altcoins slipped sharply on the risk-off move, with oil prices and broader equities also reacting to the escalation signals.
White House Press Secretary Karoline Leavitt said the US will win and that Iran will not have a nuclear weapon. Separately, Pentagon spokesman Sean Parnell said the department was locked and loaded. No final strike order had been given at the time of writing, but the rhetoric alone was enough to flush leveraged positions from the market.
A Pattern Repeating Since February
The US-Iran conflict has been a recurring driver of crypto liquidations since late February 2026, when joint US-Israeli strikes first rattled markets, including hits on Iranian nuclear sites. Since then, the conflict has cycled through truces, memoranda of understanding, breakdowns, and fresh escalation waves.
When deal talks stalled in June, a $192 million liquidation hit followed the collapse of the US-Iran deal, showing that diplomatic ambiguity alone can unwind leveraged positions. The current threat, however, involves coordination with Israel on strikes targeting Iranian energy infrastructure and refineries — a campaign that would mark one of the harshest yet and Israel's first major return to combat operations since the fragile truce.
Oil, inflation expectations, and Strait of Hormuz shipping risks remain in play, each a factor that has historically weighed on risk assets including crypto. Position sizing and reduced leverage remain the clearest hedges until this weekend's developments become clearer.
Source: CoinGape
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