Bitcoin Slides as Hormuz Drone Attacks Trigger $1B Liquidations

US Central Command intercepted multiple Iranian one-way attack drones near the Strait of Hormuz on June 12, calling the actions defensive to protect commercial shipping. At least two drones were reportedly shot down, though the total interception count may be higher. Bitcoin reacted with a sharp sell-off, dropping to a six-week low below $73,000. Traders priced in higher geopolitical risk for the Strait of Hormuz, a route carrying about 20% of global oil trade. Reports also point to crypto liquidations exceeding $1 billion, framing this move as a liquidity event that forced leverage unwinds rather than a purely technical breakdown. The June 12 flare-up follows a wider escalation cycle: a US aerial campaign began in late February, and earlier US actions included intercepting drones and striking Iranian radar sites in May. US-Iran ceasefire talks have faced repeated setbacks. For crypto traders, this is a clear “event-driven volatility” setup: when maritime energy flows are threatened, Bitcoin can reprice quickly. In a Hormuz risk regime, tighten position sizing and risk controls around geopolitical headlines, not just chart levels.