BTC Plunges Below $64K as US-Israel Military Action Against Iran Triggers Crypto Selloff

TLDR

• BTC plummeted almost 5% toward $63,000 following coordinated US-Israeli military operations against Iranian targets
• The cryptocurrency reached its weakest level since the February 5 market crash when BTC momentarily fell under $60,000
• Israel’s Defense Minister Israel Katz announced a nationwide state of emergency throughout the country
• BTC’s continuous trading schedule positions it as an immediate outlet for risk aversion when traditional markets remain closed
• Market participants dumped bitcoin as it represented one of the only major liquid assets accessible during weekend hours

The world’s leading cryptocurrency experienced a dramatic decline on Saturday, February 28, 2026, plunging toward $63,000 following military strikes executed by the United States and Israel against Iran.

The digital asset shed nearly 5% of its value within mere minutes, representing a significant blow to the cryptocurrency market.

The selloff pushed bitcoin to levels not witnessed since February 5, when the digital currency momentarily traded beneath the $60,000 threshold.

Israeli Defense Minister Israel Katz announced a comprehensive state of emergency covering the entire nation immediately following the commencement of the military operations.

According to The Wall Street Journal, a U.S. official verified American involvement in the coordinated attacks.

Reuters reported that Israeli officials characterized the military action as a “preemptive strike,” citing statements from the nation’s defense leadership.

Why Bitcoin Sold Off First

Unlike traditional equity and bond markets that close for weekends, Bitcoin operates continuously without interruption, 24 hours daily, seven days weekly.

This constant availability positions it as among the few substantial, liquid assets accessible for traders to offload during heightened risk periods outside conventional market operating hours.

This behavior represents a recurring phenomenon. BTC frequently experiences rapid selloffs during geopolitical crises, often rebounding once conventional markets resume trading.

“Bitcoin just dropped off a cliff,” one market observer shared on X, further predicting that “Monday will be a bloodbath in the market.”

Geopolitical Context

The military operations arrive after several weeks of escalating U.S. military presence and unsuccessful nuclear discussions with Iranian leadership.

Market analysts had previously been examining potential implications of Iranian conflict for bitcoin, precious metals, and equity markets.

The military action heightens the possibility of expanded regional warfare in one of the globe’s most economically critical regions.

In recent months, bitcoin’s price movement has diverged from gold, challenging its narrative as a safe-haven or “digital gold” investment vehicle.

As of Saturday morning hours, bitcoin was changing hands near $63,000, with additional market volatility anticipated when conventional financial markets resume operations Monday.