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Bitcoin Rebounds to $70,000 as Middle East Conflict Rages On

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BTC Chart

After dropping over the weekend, total crypto market capitalization is up 3.5% to $2.43 trillion.

Crypto markets are starting the week in the green despite the ongoing conflict in the Middle East, with most major altcoins posting gains.

Bitcoin (BTC) is trading at around $69,000, up nearly 5% over the past 24 hours, after reaching as high as $70,100 earlier in the day. Meanwhile, ETH and SOL are up 4% at $2,050 and $87, respectively, and BNB is up 3% on the day.

BTC Chart
BTC Chart

The overall crypto market capitalization is up 3.5% at $2.43 trillion, according to Coingecko.

The rebound comes after crypto markets initially sold off sharply over the weekend as the U.S. and Israel conducted a series of airstrikes against Iran, killing its head of state and high-ranking military commanders. Iran subsequently retaliated against its U.S.-allied neighbors, sparking fears of a wider war.

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Most of the Top 100 digital assets posted gains over the last 24 hours.

Top gainers include Near Protocol (NEAR), MORPHO, and Ethena (ENA), which rallied 14%, 12% and 10%, respectively.

Polygon (POL) and Canton (CC) are today’s biggest losers, down around 3%.

Around 112,000 leveraged traders were liquidated for $437 million in the past 24 hours, according to CoinGlass. Bitcoin accounted for $182 million, while ETH positions made up $114 million.

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Elsewhere, U.S. stocks reversed pre-market losses to trade relatively unchanged on the day, while precious metals pulled back. Gold is changing hands at $5300/oz, while silver fell 7% to $87/oz.

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Crypto World

Crypto, Iran War, and Oil Price: Geopolitical Shock Could Delay the Crypto Bull Run

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Crypto, Iran War, and Oil Price: Geopolitical Shock Could Delay the Crypto Bull Run

Crypto are under pressure as war around Iran intensifies and traders begin pricing in the unthinkable: disruption in the Strait of Hormuz.

If that chokepoint closes, oil spikes. And if oil spikes, inflation follows. That puts the Federal Reserve in a corner, forcing rates to stay higher for longer.

Crypto is not immune. While there has been some speculative buying on regional capital flight headlines, the broader macro picture is heavy. Bitcoin is moving more in sync with traditional risk assets, not decoupling from them.

Instead of acting like digital gold, the market is behaving as if liquidity is the real safe haven. In a true energy shock scenario, the first reaction is not rotation into crypto. It is de-risking across the board.

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Key Takeaways:
  • Bitcoin volatility has spiked as traders hedge against a potential Strait of Hormuz closure that could disrupt one-fifth of global oil flows.
  • Surging Oil Price levels above $90/barrel would likely stick inflation higher, potentially taking a Q2 Fed rate cut off the table.
  • While Capital Flight into USDT offers localized support, global risk-off flows are dominating market structure and capping upside momentum.

Bitcoin Crypto Volatility Spikes as Iran War Jitters Trigger $128M Liquidations

The first crypto reaction to the Iran war was chaos, not clarity. CoinGlass data shows more than $128 million in liquidations in just 4 hours after reports of the IRGC’s “Operation True Promise 4.” Nearly 80% were longs. Leverage traders were leaning the wrong way and got wiped fast.

Source: Coinglass

Bitcoin initially dropped toward $63,000 on the headlines, then bounced as more details came out. But the rebound feels mechanical, not confident. Open Interest has cooled sharply, which tells you desks are cutting risk, not aggressively buying dips.

This is classic panic behavior. Sell first. Reassess later.

Equities are showing the same pattern. The S&P 500 has seen outflows, and Bitcoin’s correlation with tech remains tight during stress events. Whatever the digital gold narrative says, in moments like this BTC trades like a high-beta risk asset, not a safe haven.

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Oil Price Surge Threatens to Derail Fed Pivot Plans

The real risk to crypto might not be the headlines; it could be oil. If the Strait of Hormuz is disrupted, up to 21 million barrels per day could be affected. That is around 20% of the global supply. Even partial disruptions historically trigger instant price spikes.

If crude holds above $100, inflation comes back fast. That traps the Federal Reserve. Rate cuts get delayed. Liquidity stays tight. And crypto suffers in a higher-for-longer environment.

Source: BTCUSD / TradingView

Some analysts are floating extreme downside scenarios again. While most institutional desks still see $58,000 to $60,000 as Bitcoin’s key support zone, that floor depends heavily on the Fed not turning more hawkish.

There is a counter-force: capital flight. Stablecoin demand in parts of the Middle East has jumped as local currencies wobble. Bitcoin and USDT become escape valves. But retail flows from crisis regions rarely offset large institutional outflows driven by macro tightening.

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Altcoins are already showing the strain. Without fresh liquidity, Ethereum and the broader sector struggle to sustain rallies. If yields on the U.S. 10-year push back toward 5% on energy-driven inflation, risk assets likely stay capped.

Discover: The best new crypto in the world

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BTC Price Bottom is Forming as Four-Year Halving Cycle Ends Says VanEck CEO

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BTC Price Bottom is Forming as Four-Year Halving Cycle Ends Says VanEck CEO

​The price of Bitcoin is close to its bottom, according to VanEck CEO Jan van Eck, pointing to the winding down of the four-year cycle.

Speaking with CNBC on Monday, van Eck said his firm expects Bitcoin (BTC) to gradually start picking up this year, arguing that the four-year halving cycle has been the primary driver of price over the past few months, as opposed to anything related to BTC’s fundamentals.

“Our view coming into 2026 is that Bitcoin is governed by […] limited supply at 21 million, and the halving cycle where the Bitcoin miners who run the network get paid half the number of Bitcoin every four years,” he said, adding:

“There’s been an investing cycle, Bitcoin goes up three years in a row, goes down pretty massively in that fourth year. 2026 is that fourth year. So that’s why we are in a Bitcoin bear market. So I think we can overcomplicate it. Now I think we are making a bottom.”

The four-year crypto cycle has been a hot topic of debate overt he last year, with crypto analysts split over whether the chart pattern is still applicable today given the level of institutional adoption and crypto market maturity.

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Arguments against the cycle include macro demand from exchange-traded funds, the weakening USD, and positive regulatory developments.

Jan van Eck’s comments come as the price of BTC is up 2.6% over the past 24 hours and is trading at $68,400 at the time of writing, and 7.6% over the past seven days, according to data from CoinGecko.

Related: Bitcoin slide slowing, but bear market still in play: Analysts

The crypto pump has coincided with growing geopolitical tensions, after the United States and Israel initiated air strikes on Iran, which has since prompted Iran to launch strikes in response against Israel.

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Van Eck speculated that Bitcoin’s recent recovery may be partly sparked by the conflict, with crypto payment rails serving as a key tool to move funds outside of banks in times of economic uncertainty.  

“When one thinks forward to some sort of solution with Iran, how are you gonna move money around? And I do think it’s a very, very crypto-friendly region, UAE, Dubai, everything,” he said, adding:  

“So it could be that if we wanted to move money to good actors, we would wanna use crypto payment rails as opposed to going through decrepit Iranian banks that we don’t control.”

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