Bitcoin’s turbulent swings wipe out $415 million in leveraged trader liquidations.

Bitcoin whipsawed through a volatile session, surging from $67,500 to $71,200 before retreating to around $70,000, as conflicting headlines around U.S.-Iran tensions rattled markets.

The initial move higher came after U.S. President Donald Trump said he had instructed the Pentagon to delay planned strikes on Iranian power infrastructure by five days, citing “very good and productive conversations” between the two sides. The announcement sparked a sharp rally across crypto markets.

However, sentiment reversed quickly after Iran pushed back on the claims. According to Fars News Agency, there had been no direct or indirect communication with Trump. The report also suggested the U.S. had stepped back after warnings of retaliation targeting power facilities across West Asia. Bitcoin promptly shed roughly $1,200 within minutes of the denial.

The rapid sequence of headlines triggered heavy liquidations. Data from CoinGlass showed more than $415 million in positions wiped out over a four-hour period, with $280 million coming from short liquidations and $135 million from longs—indicating traders were initially positioned for further escalation.

Bitcoin accounted for about $140 million of the liquidations, while ether saw $120 million. Elsewhere, Brent oil futures on Hyperliquid recorded $64 million in liquidations, largely hitting long positions. Tokenized gold and silver also saw losses of $20.9 million and $19.8 million, respectively.

The oil market move was particularly one-sided. Traders had largely bet on an escalation following Trump’s earlier ultimatum, only to be caught off guard by the postponement announcement. While their broader geopolitical expectations may have aligned with rising tensions, the immediate policy shift triggered a sharp unwind.

During the Asia session, Bitcoin had traded in a relatively tight range between $67,500 and $68,500. The Trump headline then sent prices surging nearly $3,700 within an hour, before the Iran denial erased a significant portion of those gains.

By Monday evening, Bitcoin stabilized near $70,000, up roughly 2.3% on the day, but still within a range defined by rapid, headline-driven swings.

The episode underscores a broader trend flagged by Binance data earlier this month: when derivatives trading volume significantly outweighs spot activity, markets become more sensitive to news shocks. In such conditions, liquidation cascades amplify price moves in both directions—squeezing shorts on bullish headlines, then trapping longs when sentiment reverses.

While the net price change for Bitcoin was relatively modest, the impact on leveraged traders was substantial.