Crypto Dips as Trump Advisors Meet Over Middle East Crisis

Key takeaways: 

• President Trump's evacuation warning over Iran tensions sparked a $80 billion crypto selloff.
• $400M liquidations show crypto leverage worsens crisis selloffs.
• Embassy evacuations signal deeper risks in the Middle East for global markets.

On June 16, President Trump left the G7 Summit in Canada early, rushing back to the U.S. Before his plane even landed, he called the National Security Council to the White House Situation Room and posted a stark warning on Truth Social: “Everyone should evacuate Tehran now.” 

White House Press Secretary Karoline Leavitt confirmed Trump had arrived in Ottawa for the Summit but cut his trip short. “We made progress, but with the crisis in the Middle East, President Trump decided to return tonight,” she said.

Trump’s Emergency Move Sparks Crypto Market Plunge

President Trump’s abrupt exit from the G7 Summit, triggered by escalating tensions between Israel and Iran, sent cryptocurrency markets into turmoil. 

Bitcoin slumped more than 2%, tumbling from an intraday high of $108,780 to around $106,421. 

"I have to be back."
President @realDonaldTrump answers why he's leaving the G7 Summit early. pic.twitter.com/NGFIInrt58

— Fox News (@FoxNews) June 17, 2025

While the drop was sharp, Bitcoin remained within the price range it established in early May and has stayed above $100,000 since then. Ethereum fared even worse, plunging nearly 5% to just above $2,500. 

The sell-off spread across the broader market, with major altcoins shedding between 5% and 6% of their value and wiping out roughly $80 billion in total market capitalization. 

The volatility forced a wave of liquidations. CoinGlass data shows that over $400 million in leveraged positions have been wiped out.

Saylor Retains Bet on Bitcoin as Market Sentiment Cools to Neutral

Michael Saylor recently dismissed concerns about another crypto winter, but the sudden market downturn linked to ongoing Middle East tensions has put investors on edge. 

The Bitcoin Fear and Greed Index, which had remained in the “greed” zone for over two weeks, has now dropped to neutral levels, indicating increased market caution.

Speaking to Bloomberg, Saylor said, “Winter is not coming back… if Bitcoin’s not going to zero, it’s going to $1 million.”

He argued that with around 450 BTC sold daily by miners, worth roughly $50 million at current prices, consistent buying at that scale could drive prices higher.

BREAKING: BILLIONAIRE MICHAEL SAYLOR TELLS BLOOMBERG #BITCOIN IS GOING TO $1 MILLION AND THAT THERE WILL NEVER BE ANOTHER CRYPTO WINTER

COMPANIES AND ETFS "ARE BUYING THE ENTIRE SUPPLY." PARABOLIC SOON 🚀 pic.twitter.com/Vv7qSRIgst

— The Bitcoin Historian (@pete_rizzo_) June 10, 2025

Strategy continues to lead corporate adoption with its holdings of 592,000 BTC, now valued at $63 billion after the recent price dip. 

Saylor expects more institutional players to enter the market, noting that major financial institutions are expanding their services to include Bitcoin custody. 

He also pointed to growing political support, with figures like Donald Trump, Steven Mnuchin, and Jay Clayton recognizing Bitcoin as a legitimate asset class.

While optimistic about long-term growth, Saylor acknowledged Bitcoin's inherent volatility. 

He suggested that even if prices reach $500,000 or $1 million in the future, the cryptocurrency could still experience significant corrections, potentially dropping as much as $200,000 during market pullbacks. Such fluctuations, he argued, are natural for rapidly appreciating assets.