The cryptocurrency market once again fell victim to its own always-on architecture. As the only major asset class trading 24/7, digital assets bore the brunt of the initial shockwaves following joint U.S. and Israeli strikes on Iran. With traditional exchanges shuttered for the weekend, bitcoin and altcoins became the de facto barometer for global investor panic, offering a raw, real-time glimpse into the market’s reaction to the long-threatened escalation of conflict in the Middle East.
Market data captured a swift flight to safety that was not quite safe. Bitcoin plummeted from about $65,500 to a floor of $63,037 as news of the strikes broke. While it eventually recovered to $64,000—capping its 24-hour drawdown at roughly 4%—the broader altcoin market faced a far more brutal reckoning.
While bitcoin showed relative resilience, the altcoin sector experienced a synchronized liquidation. Ethereum, already struggling to clear the psychological $2,000 resistance level, plummeted to $1,840. Despite a modest recovery to $1,880, it remained buried under a 5.2% intraday loss. XRP slipped 6.6% to $1.30, pushing its weekly deficit toward 10%.
SOL, DOGE, ADA, and BCH all buckled under the pressure, registering synchronized slides of approximately 7%. The carnage was nearly universal. Of the top 20 assets tracked by CoinGecko, only Figure Heloc (up 3.1%) and LEO (up 0.5%) managed to evade the bears.
The most striking outlier was ORBS, which decoupled from the market with a massive 59% surge, jumping from $0.018 to $0.01617. This is not a random fluctuation; historical data suggests a provocative correlation between the Tel Aviv-based token and Israeli military operations. Between June 6 and June 17, 2025, ORBS rallied 40%, rising from $0.019 to $0.026.
Observers assert that some market participants increasingly view ORBS as a “patriotic proxy” or a “blue-and-white” play for retail investors seeking on-chain exposure to Israeli tech resilience. This sentiment is validated by Cryptoquant data, which noted a 150% surge in exchange inflows tagged to Israeli IP addresses following last year’s operations against Iran, and a similar 170% spike following Oct. 7.
While niche assets like DKA (up 32%) and GWEI (up 24%) found pockets of liquidity, they could not stem the tide. In the immediate aftermath of the strikes, the total altcoin market capitalization suffered a significant contraction, shrinking from $982 billion to $910 billion in a matter of hours.
- Why did crypto react first to the strikes? Digital assets trade 24/7, unlike stocks.
- How far did bitcoin fall? It dropped about 4% to $63K before rebounding.
- Which altcoins were hit hardest? ETH, XRP, SOL, DOGE, ADA, and BCH slid 5–7%.
- Why did ORBS surge while others fell? Traders saw it as a patriotic proxy tied to Israeli resilience.
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