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▲ US, Iran, Strait of Hormuz, Crude Oil/AI Generated Image
The cryptocurrency market dropped by approximately 1% in a single day as US airstrikes on Iran and the surge in international oil prices stimulated a sell-off of risk assets. The amount of stablecoins held by exchanges has also decreased to its lowest level since the end of 2025, leading to a reduction in new funds entering the market.
According to BeInCrypto, a cryptocurrency-focused media outlet, on July 8 (local time), the total cryptocurrency market capitalization decreased by approximately 1% in one day, shrinking to $2.14 trillion. After the US attacked over 80 targets in Iran and more than 60 speedboats near the Strait of Hormuz, international oil prices surged, prompting investors to sell risk assets such as cryptocurrencies.
The risk of a further decline also increased on the overall cryptocurrency market capitalization chart. After being capped at $2.21 trillion, the market cap is now testing the $2.14 trillion support level. BeInCrypto analyzed that a head and shoulders pattern is emerging, and if the $2.14 trillion level is not maintained, it could fall to $2.02 trillion. If even the $1.91 trillion neckline breaks, there is a possibility of an additional 11% decline towards $1.69 trillion.
Funds waiting in the market are also decreasing. Stablecoins held by exchanges have fallen to approximately $62 billion, the lowest level since the end of 2025. The overall stablecoin market size also decreased by 2.4% in June, with $7.7 billion exiting. This is the largest monthly decrease since the Terra collapse in 2022.
Among altcoins, LAB plummeted by approximately 73% during the recent sharp decline. According to CoinGlass data, the liquidation amount for LAB long positions reached approximately $13.3 million. BeInCrypto analyzed that although selling volume is decreasing, $3.24 is the last line of defense. If $3.24 is held, it could rebound to $6.5, but if the support breaks, the risk of further decline increases.
The cryptocurrency market has simultaneously faced two negative factors: avoidance of risk assets due to military conflict in the Middle East and a decrease in stablecoins. BeInCrypto presented the maintenance of the overall market capitalization at $1.91 trillion and the amount of stablecoins held by exchanges as key indicators to assess the risk of further decline.
[Key Article Summary]
-Following US airstrikes on Iran and surging international oil prices, the total cryptocurrency market capitalization decreased by approximately 1% in one day, shrinking to $2.14 trillion.
-Stablecoin holdings on exchanges decreased to approximately $62 billion, the lowest level since the end of 2025, and $7.7 billion exited the overall stablecoin market in June.
-LAB recently plummeted by approximately 73%, and BeInCrypto presented $3.24 as the last line of defense.
*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*
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