On March 1, 2026, just 24 hours before Israel launched a military strike against Iran, the crypto market experienced a dramatic shakeout followed by a textbook V-shaped recovery. However, behind the celebration was the destruction of 150,000 traders. On February 28, as explosions rocked Tehran, Bitcoin plummeted below $63,000, Ethereum fell below $1,900, and major coins like Solana and Dogecoin dropped more than 5%. Nearly 147,000 traders were liquidated across the network, with $500 million evaporating. Yet, 24 hours later, the market staged a surprising rebound, with Bitcoin climbing back above $66,000, recouping all losses and rising over 6%. But this rebound was not a feast for everyone — in the past 24 hours, a total of 149,303 traders were liquidated, with $570 million wiped out. The most shocking aspect was the composition of liquidations: $320 million in long positions and $251 million in short positions, forming a classic long-short double kill pattern. During the plunge, short sellers were swallowed by the rebound, while those chasing longs were ruthlessly cleared out by the liquidation mechanism, with both sides’ leveraged positions hit simultaneously. The BTC long-short ratio soared from 1.4 to 2.3 in less than 72 hours, indicating a rapid surge in bullish sentiment while also foreshadowing subsequent volatility. The halt in shipping through the Strait of Hormuz triggered a chain reaction in the global energy markets, but Bitcoin demonstrated a high correlation with risk assets during this event, once again discrediting its narrative as “digital gold” for safe-haven. The $570 million in double-sided liquidations became the starkest testament to the brutal nature of the crypto market under geopolitical black swan events.