Bitcoin Faces $1.8B in Panic Selling as U.S.-Iran Airstrikes Escalate; Will BTC Crash Below $60k?

Bitcoin is facing panic selling as tensions between the U.S. and Iran escalate, with both countries launching airstrikes, a move that has sparked fears of a full-blown war. Expert Colin has warned of a BTC crash as the leading crypto risks losing key support levels.

Bitcoin Faces Panic Selling, Raising Concerns Of A BTC Crash

A CryptoQuant analysis revealed that Bitcoin’s sell volume surged by almost $1.8 billion on the derivatives market, reflecting aggressive market sell orders hitting the books amid rising tensions between the U.S. and Iran. Notably, the derivatives pressure index dropped sharply from 30% to 18% amid this development, signaling a shift towards a strong bearish sentiment.

As CoinGape reported, the crypto market crashed as the U.S. and Israel carried out joint attacks against Iran, while Iran also retaliated with its own targeted airstrikes. Amid these airstrikes, there was a BTC crash to around $63,000, although the leading crypto has now rebounded above $64,000.

Meanwhile, CryptoQuant noted that the imbalance in the Bitcoin derivatives market reflects clear seller dominance and rising short-term risk aversion. During such a period, market conditions typically become more volatile and less predictable, the platform stated.

Furthermore, market participants typically take a cautious approach during this period as flows are driven more by emotion and risk management than by structural dynamics. While there is undoubtedly the risk of a deeper BTC crash, the CryptoQuant analysis explained why the leading crypto could still see a bounce amid the U.S.-Iran tensions.

The analysis noted that when consensus becomes too one-sided or positioning reaches an extreme, markets often tend to move against that excess. “Panic-driven phases can therefore create the conditions for technical rebounds, even if timing remains difficult to assess,” CryptoQuant added.

A Drop Below $60,000 On The Cards

In an X post, analyst Colin warned of a deeper BTC crash if the leading crypto doesn’t hold $62,600. If Bitcoin drops below this level, the analyst stated that a retest or a breakdown below the $60,000 lows is likely to happen.

It is worth noting that crypto traders are currently betting on Bitcoin’s price falling below $60,000. There is currently a 79% chance that BTC will crash to $55,000, and a 65% chance it will crash to $50,000.

However, crypto analyst Ted Pillows provided a bullish outlook for Bitcoin. He noted that on February 22, when Russia first attacked Ukraine, there was a BTC crash before the leading crypto then rallied 40%. In June 2025, when Israel attacked Iran, Bitcoin dumped first and then rallied 25%. As such, the analyst indicated that there is the possibility of a similar pattern playing out again.