The world cryptocurrency market contracted violently Saturday, February 28, 2026, when digital assets fell victim to “Operation Epic Fury.” In a span of just sixty minutes, about $128 billion of total market capitalization disappeared when it became public about synchronized U.S. and Israeli air raids against Iranian military and nuclear infrastructure.
Bitcoin and Big Alts Fall flat
Bitcoin (BTC), which began to see improvement near the $66,000 mark, had an instant 'red candle' liquidation dropping nearly 4 per cent to a session low of $63,038. The volatility was even greater for altcoins:
- Ethereum (ETH): Slide 9%, well below the much-needed support of $1,850.
- Solana (SOL) & Cardano (ADA): Both posted double-digit losses of 10% to 12%.
- XRP: Gave up a sudden 9.4% to $1.29, after it became apparent that it had released a Ripple whitepaper on institutional trading.
Mass Liquidations and 'Extreme Fear'
The CoinGlass data showed that more than 152,000 traders were liquidated in the past 24 hours, with total liquidations exceeding $515 million. Most of these were “long” positions bets on rising returns in the market which were forced closed as prices spiraled. The Crypto Fear & Greed Index dropped to 14, a “Extreme Fear.”
Analysts pointed out that because the strikes took place over the weekend, crypto constituted the only major asset class investors had to “de-risk,” pushing prices down in an amplified selloff that traditional stock markets had not yet caught on to. Institutional Sentiment Shifts.
The crash arrives at a sensitive time for the industry. CryptoQuant confirmed earlier this month that U.S. Spot Bitcoin ETFs had flipped to net sellers for the first time in 2026. This absence of “buy-side” backing as an institution, paired with President Donald Trump declaring “major combat operations” after a crisis, has left the market hunting for a floor. Now, technical analysts are preparing to view the psychological level of $60,000 as the next huge line of defense in regard to Bitcoin.
