Crypto liquidations top $900M as BTC breaks below $63,000 on rising Middle East risk

Escalating tensions in the Middle East have injected fresh volatility into global risk assets. Iran has warned it could block the Strait of Hormuz, while Israel's hardline response has accelerated the market's shift into risk-off positioning. Oil and gold jumped sharply. Crypto sold off in a panic move. Data shows more than $900 million in positions were liquidated across the market in the past hour. Total liquidations reached $4.2 billion over the last 24 hours, marking the largest long wipeout so far this year. Institutional flows are also flashing signs of retreat. On-chain trackers show Mt. Gox moved more than 10,000 BTC again. BlackRock transferred 6,005 BTC to Coinbase. Abraxas Capital cut its BTC holdings by roughly 2,469 BTC, adding to near-term sell pressure. Technically, BTC has decisively slipped below the key $63,000 support, with the bearish structure on the 4-hour chart continuing to widen. Funding rates fell quickly from 0.01% to 0.0015%, suggesting pricing power has shifted back to shorts. Within the market, capital rotation is starting to appear. Hyperliquid data shows HYPE open interest has climbed to $1.594 billion, second only to BTC. With activity picking up in crude-oil perpetuals, some large wallets have been steadily rotating into HYPE. Levels to watch (short term): • BTC resistance: $64,000–$64,500 USDT • BTC key support: $61,000 / $58,000 USDT If BTC rebounds above $64,000 and selling re-emerges, the short-term setup still favors short opportunities. A failure to hold $61,000 could trigger a broader liquidation cascade. In the current environment, event-driven trading with quick entries and exits looks more appropriate than high-leverage directional positioning. Risk Disclaimer: Market volatility is high. This report is for informational purposes only and does not constitute investment advice.