The US-Iran war has continued to escalate after the United States and Israel struck Iran, leading to retaliatory attacks across the Gulf. Explosions were heard in Tehran and other cities, while Iran launched missiles and drones toward Israel and US-linked bases in the region. The clashes extended to the UAE, Bahrain, Kuwait, and Saudi Arabia as crypto markets reacted in real time.
US-Iran War Expands Across Gulf States
According to an Al Jazeera report, a suspected Iranian drone struck a high-rise building in Bahrain. Iranian strikes have targeted US military assets in the country. Authorities have not confirmed whether the building was the intended target in the US-Iran war.
This followed the U.S.-Israel joint attack on Iran earlier, which notably led to a crypto market crash. In the UAE, a Pakistani national died after debris struck him, the Ministry of Defence said. Officials reported intercepting a wave of missiles. Residents also heard explosions in Dubai, likely linked to air defense interceptions.
Reports also stated that debris struck the Fairmont The Palm hotel in Dubai, causing a fire as the US-Iran war continued. Authorities evacuated the Burj Khalifa as a precaution. Several Gulf states closed their airspace amid rising tensions.
Bahrain confirmed that a missile targeted the headquarters of the US Navy’s Fifth Fleet. Meanwhile, Kuwait’s Ministry of Defence said Ali al-Salem Air Base faced ballistic missile attacks. Kuwaiti air defenses intercepted all incoming projectiles.
In Saudi Arabia, residents heard loud explosions in Riyadh, AFP reported. The Saudi Foreign Ministry later expressed solidarity with Qatar, Jordan, Bahrain, Kuwait, and the UAE. Iran had earlier warned it would strike US military facilities if attacked. The Islamic Revolutionary Guard Corps said operations would continue until the enemy faced defeat. It added that all US assets in the region remained legitimate targets.
Iran has also retaliated by targeting US bases across Qatar, Jordan, Saudi Arabia, and Iraq. Missiles struck areas in northern Israel, including Haifa. The IRGC claimed it hit a US Navy vessel and destroyed a US radar station in Qatar. The IRGC announced the closure of the Strait of Hormuz. Oil tankers reportedly stopped moving through the waterway, which carries about 20 million barrels daily.
Crypto Market Reacts as Volatility Spikes
As per analyst Crypto Patel, the U.S.-Iran war is the largest geopolitical crisis since World War II. He said Bitcoin was the only major liquid asset trading during the weekend. As a result, traders reacted before stock and oil markets reopened.
Despite the crypto market being at risk as the US-Iran war continues, crypto markets have recorded sharp swings. Bitcoin fell from $65,500 to $63,000 before rebounding near $65,670. At the time of writing, the Bitcoin price is up by 0.75% over 24 hours.
Source: CoinMarketCap
Ethereum fell toward $1,800 before recovering near $1,900. Ethereum traded at $1,927.59, gaining 1.36% in the past hour. Despite a prior XRP dip, the digital asset recovered by 1.20% hourly to trade at $1.33. The broader crypto market rose 0.57% to $2.27 trillion, and the Fear and Greed Index stood at 14.
As per the analyst, traders need to watch $60,000 for Bitcoin price and $1,750 for Ethereum. He added that further downside could lead to massive liquidations if those levels are broken. He reported $464 million in liquidations within 24 hours.
Around $100 billion briefly left the total crypto market capitalization. However, prices stabilized as traders adjusted positions during the ongoing US-Iran War.