Bitcoin prices dropped below $65,000 on Saturday as the cryptocurrency market reacted sharply to reports that Israel and the United States had launched military attacks against Iran on Saturday.

The sudden escalation in geopolitical tensions triggered a wave of risk-off sentiment, where investors sell off volatile, high-risk assets like crypto and seek safer alternatives such as gold. As a result, Bitcoin fell nearly 3% on Saturday toward the low of $64,000.

When Bitcoin falls, the rest of the crypto market usually follows. The pattern played out again, as other major tokens like Ethereum (ETH) and Solana also declined alongside.

What should crypto investors do?

Sharp corrections like today’s selloff can unsettle even seasoned investors. According to Piyush Jhunjhunwala, Founder & CEO, Stockify, the latest crypto slide marks one of the steepest single-day drops seen in the past few months.

“These drops create tremendous amounts of fear, and investors are selling off their high beta positions,” he said.

He notes that as geopolitical tensions or future conflicts emerge, bouts of volatility may continue to pressure prices. “However, there are many instances in history where knee-jerk selling creates a great opportunity for disciplined long-term position holders after volatility decreases and calm returns to the marketplace,” Jhunjhunwala added, urging investors to hold the asset.

In this backdrop, the crypto expert advises long-term crypto investors to focus on risk management, keeping leverage in check, and focus on maintaining disciplined/long-term positions as opposed to selling in a panic due to external events that may lead to significant decreases in price.