šŸ’€ US–Iran Fallout Wipes $1.15B BTC

Cathie Wood’s Investing Rulebook.

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Just hours after refusing a US demand to halt its nuclear program, Iran woke up to missiles. Now rumors are flying: was this an Israeli decision… or a move quietly greenlit by Washington? Meanwhile, defense stocks in the US are quietly surging.

Here’s what we got for you today:

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⭐ 5 Things You Shouldn’t Miss

šŸ’„ A few days ago, James Wynn told everyone to ā€œbuy the dipā€. He posted a 25x long on $ETH.X ( ā–¼ 6.89% ) claiming +138% PnL, but his main wallet has no sign of that ETH long. And then… this morning, James lost $1.7M in a few hours on new wallet trades with 40x long $BTC.X ( ā–¼ 2.01% ) & 10x long $PEPE.X ( ā–¼ 12.24% ) . He still has a $2M floating loss. Died of confidence…

🟢 Big win for DeFi: SEC officially pulled back several Gensler-era rules that had crypto builders stressed out. What changed: Killed plans to classify DeFi as national exchanges (Rule 3b-16) + Scrapped stricter custody rules for holding crypto + Dropped added ESG and cybersecurity reporting.

šŸ“¢ After months of delays, the U.S. Senate finally passed the first key vote on the GENIUS Act, a major stablecoin bill with a 68–30 landslide. Senator John Thune calls it the bridge to crypto’s future. Trump’s team says he’ll sign it if passed. Final Senate vote is expected next Tuesday.

šŸ”„ Plasma ($XPL) is triggering massive FOMO. Both ICO rounds sold out crazy fast with $1 billion raised. The largest group (investing <$10K) = 1,055 wallets (50.4%) → But they only contributed $2.8M (0.56%). Meanwhile, just 91 whale wallets (4.3%) invested over $379M (76%). So 95.7% of retail only brought in 24% of the funds. Big money is steering this ship.

šŸ“‰ On June 11, new data showed that the CPI rose only 0.1% from the previous month, below the market forecast of 0.2%. Year-over-year, CPI increased by 2.4%, also lower than the expected 2.5%. At the same time, Trump said the U.S.–China relationship is now ā€œvery goodā€. Meanwhile, the public feud between Trump and Elon Musk seems to be cooling off.


⚠ Iran–Israel Conflict Flares Up Again, Crypto Market Turns Red

Today, ā€˜Friday the 13th’, Crypto market was awash in red as the leading asset, $BTC.X ( ā–¼ 2.01% ) plunged nearly 5% to $103,700. Notably, BTC’s drop while still drawing in dominance caused a sharp decline of over 10% in many top coins, including $ETH.X ( ā–¼ 6.89% ) , $SOL.X ( ā–¼ 7.63% ) , $DOGE.X ( ā–¼ 6.59% ) , and more.

1ļøāƒ£ Israel Strikes Iran: Tensions Explode in the Middle East (US Behind?)

In the early hours of June 13, global news agencies confirmed: Israel launched airstrikes on Iran, reigniting serious conflict between the two countries. One unconfirmed report says Islamic Revolutionary Guard chief may have been killed.

This didn’t come out of nowhere. The U.S. had already warned that Iran might attack Israel soon, and even told its citizens to leave the area.

Instead, Israel struck first. Prime Minister Netanyahu has made it clear: this won’t be a one-time attack. More strikes are coming until what he calls ā€œall threats to Israelā€ are removed.

🤨 US-Iran Deal Breaks Down, War Tensions Explode!?

Interesting fact, just hours after Iran refused to meet U.S. demands on its nuclear program, Israel launched a surprise airstrike targeting Iranian military and nuclear facilities.

Here’s the backstory:

  • On April 12, the U.S. and Iran held last-minute talks.

  • The U.S. asked Iran to stop uranium enrichment and scale down its nuclear efforts.

  • Iran said no, calling the request ā€œunreasonableā€ and warning it might strike Israeli nuclear sites if threatened.

    → Then, as the negotiation deadline passed… boom. Israel struck first.

Many believe the U.S. might’ve pushed Israel to act after Iran didn’t budge. Iran’s officials are now directly blaming the U.S. for “coordinating the attack.

Meanwhile, U.S. defense stocks all jumped 1.5% to 2.7%, which only adds fuel to the theory that war is good business for some.

2ļøāƒ£ Global Markets Shake as Israel–Iran Tensions Escalate

Right now, all eyes are on Iran, Iran launched over 100 unmanned aerial vehicles (UAVs) toward Israeli territory. The fear? This could turn into a full-on war.

Israel isn’t taking any chances. The entire country is now on high alert and under emergency status, expecting possible retaliation.

And the world is already feeling it…

  • US stock markets dropped sharply after the news broke. Investors are nervous, war means uncertainty, and markets hate that

  • Oil prices jumped to $74 per barrel, the highest in over 2 months. Because the Middle East is a major oil-producing region. If conflict spreads, oil supply could get disrupted.

  • Gold surged to $3,430/ounce, just $70 away from its all-time high. Gold usually goes up during geopolitical crises, people see it as a “safe haven” when things get shaky.

3ļøāƒ£ Bitcoin Drops as Middle East Conflict Shakes Crypto Market

Bitcoin ($BTC.X ( ā–¼ 2.01% ) ) dropped sharply to $103K, wiping out all the gains it had made after:

Altcoins also crashed, with many top tokens falling 5%–20% in just 24 hours. The whole crypto market turned red. And it gets worse…

In the derivatives market, over $1.15 billion was liquidated in just a day. That means a ton of people lost their positions, more than 90% of them were long.

→ One huge bet on BTC worth $201 million got wiped out on Binance.

This isn’t the first time… Back in 2024, we saw two major Israel–Iran clashes, and both times, Bitcoin took a massive hit.

On April 19, 2024, $BTC ( ā–¼ 1.89% ) crashed to $59,600, dragging the whole crypto market down, just 1 day before the long-awaited Bitcoin halving. This marked the 5th straight day of outflows. Another one is in October 2024.

šŸ”„šŸ”„Ā Our View: Every time war tension flares up – whether it’s Israel vs. Iran now, or Russia-Ukraine before – we often see Bitcoin take a hit, even though the conflict has nothing to do with crypto directly.

A lot of scary headlines (like war) tend to break right after the U.S. stock market closes, this time was no different. That timing hits hard because markets can’t respond instantly, but Bitcoin trades 24/7, so it absorbs the shock first.

Many investors hold both stocks and Bitcoin.

→ When they get nervous (like during war headlines), they don’t just sell stocks — they sell Bitcoin too, to move into cash. That creates short-term selling pressure.

  • Logically, a war in the Middle East doesn’t directly impact Bitcoin

  • But emotionally, when people feel unsafe, they sell risky assets first. And Bitcoin is still seen as ā€œriskyā€ by most big investors

If you look at past patterns, Bitcoin tends to drop hard during war panic, but recovers later, once the fear dies down.


šŸ˜Ž Investing Like Cathie Wood: 4 Lessons from a Decade of Bold Bets

In a world where most investors play it safe, Cathie Wood went the opposite way. She bet big on tech that others thought was too early or too risky:

  • Tesla when everyone doubted it

  • Bitcoin before institutions touched it

  • AI, gene editing, and space tech long before the hype

To some, she’s a tech prophet, always one step ahead. To others, she’s just a “degen in a suit”, taking massive risks and often paying the price

She took hits. ARK’s portfolio soared in 2020, then crashed in 2022. But she stayed the course. Here’s what you can learn from her approach (even if you don’t agree with her picks).

1ļøāƒ£ From “Faded Beauty” to Groundbreaking Tech Queen

Cathie was born in 1955, Los Angeles, to Irish immigrant parents. Her dad was a radar and navigation engineer in the military, he sparked her early love for tech and logic.

While her friends were gossiping, teen Cathie was explaining how rockets work. Not joking.

Cathie studied economics and finance at USC, where she learned under Arthur Laffer, the guy who created the famous ā€œLaffer Curveā€ used in U.S. tax policy.

He taught her a core truth: ā€œEconomics and technology move in cycles. Whoever sees the cycle, wins.ā€ That idea became her lifelong investing playbook.

But… she always felt like the ā€œweird oneā€ for being so obsessed with tech. In 2014, Cathie took the leap and started ARK Invest, focused on: AI + Genomics + Neural networks + Blockchain & crypto.

Back then, people thought these ideas were crazy. Cathie didn’t care — she saw the cycle shift coming, and bet on it.

Today, ARK is one of the most-watched innovation funds in the world. Love her or hate her, Cathie changed how we think about tech investing.

2ļøāƒ£ Tesla and the Crazy Bet That Paid Off (And Then Got Risky)

In 2014, Cathie left a large fund management company to found ARK Invest – a fund that specializes in investing in companies that have the potential to “change the future”.

For Cathie, it’s not about current sales or net profits, but about the long-term vision: can this company become the benchmark in 5–10 years?

Tesla is the most brilliant proof of Cathie Wood’s “disruptive technology” investment philosophy.

Cathie started buying Tesla stock in 2016, when it was under $40 per share. At the time, Tesla was drowning in debt, burning through cash, and Wall Street thought it was doomed.

But Cathie didn’t care. She believed in Elon Musk’s vision, that Tesla would redefine the auto industry with electric cars and eventually become a giant in AI, energy, and robotics.

So ARK Invest held on, through the ups and downs.

Fast forward to 2021, and Tesla exploded:

  • It hit a market cap of $1.2 trillion

  • ARK’s investment gained over 1,500%

  • Everyone who once called Cathie ā€œcrazyā€ was now calling her a genius

After 2022, interest rates started rising fast. That’s bad news for growth stocks like Tesla because higher rates mean investors get more cautious. ARK’s portfolio took a hit, and Tesla’s stock became way more volatile.

Betting on breakthrough tech can be huge if you get it right… But it also comes with real risk, especially when the economy changes.

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This newsletter is for informational purposes only and should not be considered investment advice. Traders should conduct thorough research, understand the risks, and carefully evaluate their decisions before investing in cryptocurrency.

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