US strikes on Iran water infrastructure send Bitcoin below $100K and trigger $700M in liquidations

When bombs hit water reservoirs, crypto traders start selling. That cause-and-effect chain sounds absurd until you look at the numbers. US military strikes damaged 18 water facilities across Iran’s Hormozgan Province, destroying 10 outright and partially damaging 8 others. The humanitarian fallout is severe. The market fallout was immediate. Bitcoin dropped below $100K following the July strikes, and the broader digital asset market absorbed over $700 million in liquidations in the aftermath. What happened on the ground The strikes on Hormozgan Province are part of a broader military exchange that began in February 2026, escalating steadily through the spring and into summer. On June 10, US strikes hit two concrete water storage reservoirs in Sirik county. Combined capacity of the destroyed reservoirs was 2.5 million liters, and roughly 20,000 residents lost reliable water access during peak summer heat. Then, around July 17-18, a strike targeted a desalination plant in Bonji village in Jask county. That single facility served approximately 10,000 people across 20 villages. Abdolhamid Hamzehpour, representing Iran’s Hormozgan Water and Wastewater Company, publicly condemned the str...