Weekend Plunge! Iran's Latest Warning! Cryptocurrencies See 179,200 Liquidations

This weekend, cryptocurrencies collectively plummeted. As of press time, Cardano, XRP, and XLM dropped more than 12%, Ethereum fell over 5%, and Bitcoin declined by 2.40%. According to data from CoinGlass, a total of 179,200 people were liquidated globally in the past 24 hours, with liquidation amounts approaching $900 million. Of these, over 80% were long position liquidations.

Market analysts believe that this sharp drop in Bitcoin and other cryptocurrencies was mainly driven by two overlapping factors: first, concentrated profit-taking from earlier gains created short-term selling pressure; second, international geopolitical tensions remain high, with safe-haven demand putting pressure on risk assets.

According to CCTV News, on the 22nd local time, Rezaei, Secretary of Iran's Supreme National Security Council, stated that any country participating in imposing economic restrictions on Iran is considered an enemy by Iran.

Cryptocurrencies Plunge Collectively, 179,200 Traders Liquidated

From August 22 to 23, the cryptocurrency market saw a collective plunge. As of press time, within 24 hours, Bitcoin's price fell 2.40% to $76,600, and Ethereum dropped 5.29% to $2,383. Other cryptocurrencies also tumbled, with Cardano plunging 14.05%, XRP falling 12.21%, XLM dropping 13.17%, and BNB and Solana each declining by more than 5%.

According to CoinGlass data, in the past 24 hours, a total of 179,200 traders were liquidated globally, with total liquidations amounting to $882 million. Among them, long position liquidations totaled $753 million, while short position liquidations amounted to $129 million. The largest single liquidation occurred on Binance-ETHUSDC, valued at $22.43 million.

Prior to this plunge, Bitcoin had risen for five consecutive trading days (August 17 to 21), with its price surging from $63,000 to a high of $69,300, triggering massive short squeezes.

Recently, optimism has returned to the cryptocurrency market, with the core catalyst being U.S. Treasury Secretary Bessent's announcement on August 19 that the scale of long-term Treasury buybacks would at least double. This move lowered long-end yields, boosted risk appetite, and forced traders to urgently cover billions of dollars in short positions. On the same day, U.S. President Trump met with crypto industry leaders, further bolstering market confidence. Meanwhile, gold prices touched their highest level since May, as investors worried that bond intervention might pressure the U.S. dollar.

Rachael Lucas, an analyst at BTC Markets, pointed out that the true driver of this rally was the expansion of Treasury buybacks, but the long-term logic remains unchanged, and Bitcoin's characteristic high volatility persists.

On Kalshi, a well-known global paid prediction platform, both retail speculators putting real money on the line and professional institutional traders are generally betting that Bitcoin will close near current levels in 2026—implying that the remainder of the year may see sideways consolidation or a high-level turnover phase within a bull market. The average results of related contracts on the platform show that the market expects Bitcoin's price to be around $75,000 by year-end.

Recently, Ray Dalio, founder of Bridgewater Associates, issued another warning regarding U.S. fiscal risks. He pointed out that U.S. Treasury Secretary Bessent's announcement to expand long-term Treasury buybacks, combined with the continued rise in long-term U.S. Treasury yields and Japan's reduction of its U.S. debt exposure, may indicate that U.S. finances are approaching a critical turning point. If debt issues are not addressed promptly, the U.S. could face a more severe debt crisis in the coming years.

On the 21st, Dalio explicitly stated on social media that the U.S. government's finances are at a "tipping point," warning that if immediate action is not taken, debt will continue to expand until it becomes impossible to resolve without causing significant economic shock.

Addressing potential fiscal and monetary risks, Dalio suggested that investors adjust their asset structures accordingly: reduce allocations to debt instruments such as bonds, and allocate 10% to 15% of portfolios to gold, with small holdings of Bitcoin, to enhance diversification against fiscal and monetary volatility.

Latest Developments in the Middle East and Russia-Ukraine Situation

International geopolitical tensions were also one of the triggers for the high-level correction in cryptocurrencies over the weekend.

Regarding the Middle East situation, CCTV News reported that on the 22nd local time, Rezaei, Secretary of Iran's Supreme National Security Council, stated that Iran has told countries around the world not to join the U.S. in launching an economic war against Iran. Any country participating in imposing economic restrictions on Iran is considered an enemy by Iran.

Rezaei stated that the economic war launched by the Trump administration is also a propaganda war. Although Iran has suffered from long-term U.S. sanctions, it has learned how to circumvent them. He noted that the issue of naval blockades cannot be resolved overnight; Iran has endured months of U.S. naval blockades but has still successfully sold oil.

Furthermore, he stated that any U.S. actions in the southern shipping lanes of the Strait of Hormuz would become targets for Iran, and that Iran would strike at meetings held between the U.S. and any anti-Iran forces in the region.

Regarding negotiations between Iran and Oman concerning the Strait of Hormuz, Rezaei pointed out that one of the key consultations involves coordinating shipping lanes and trade transit issues, and currently, there are no problems with the negotiations. Meetings between the foreign ministers of both countries have progressed smoothly, and negotiations are ongoing. The Strait of Hormuz is crucial to Iran, and Iran will reach a final agreement with Oman.

Due to stalled negotiations with Iran, U.S. President Trump announced "devastating economic actions" against Iran on the 19th. Trump threatened that any country allowing its financial institutions, companies, airports, or government entities to provide any form of support to Iran would face serious economic consequences. He called on all U.S. allies to join the U.S. in isolating Iran and defeating the "Iranian threat." On the 20th, U.S. Treasury Secretary Bessent warned that the U.S. would implement "unprecedented economic isolation" measures against Iran.

Regarding the Russia-Ukraine conflict, CCTV News reported that on the 22nd local time, Russian President Putin stated that the Ukrainian armed forces had continuously attacked Russia with missiles and drones over the past 40 days in an attempt to defeat Russia, but this was "merely an adventure." He claimed that Ukrainian strikes had not caused any substantial turning point.

Putin also stated that in response to Ukrainian strikes on civilian facilities within Russia, the Russian military had increased strikes on Ukrainian enterprises, and that Russia's retaliatory strikes were "more destructive."

The Russian Ministry of Defense reported on the 22nd that the Russian military used long-range precision weapons and drones to carry out cluster strikes on the Kyiv region of Ukraine, destroying more than 40 trucks equipped with long-range drone launchers. Additionally, the Russian military struck the Chornomorsk port and the Pivdennyi port, targeting military supply warehouses, fuel tanks, cargo ships used by the Ukrainian military, and port infrastructure.

On the same day, the General Staff of the Armed Forces of Ukraine reported that Ukrainian forces struck fuel and lubricant storage tanks at the Yeysk port in the Krasnodar Krai of Russia. Ukrainian President Zelenskyy provided updates on the battle situation, stating that Ukrainian forces had carried out long-range strikes on multiple targets within Russia over the past day, including the Novokuybyshevsk refinery about 1,000 kilometers from the front line, and a logistics hub in the Samara region.

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