Bitcoin climbed to an intraday high of $71,224 on Monday morning before settling at around $70,000, representing a 2.5% gain on the day, according to data from CoinGecko. Despite the rally, the cryptocurrency remains down approximately 5% on the week. The move came as markets responded to a significant shift in U.S. foreign policy toward Iran.
President Donald Trump announced via his Truth Social platform that he had directed the U.S. military to hold off on planned strikes against Iranian power plants and energy infrastructure for five days. He described the decision as stemming from what he called productive conversations, with further meetings expected before any next steps are taken. The statement did not specify the substance of those discussions.
The announcement represents a notable reversal in tone from a post Trump made the previous Sunday, in which he threatened to obliterate Iran’s power plants if the Strait of Hormuz was not reopened within 48 hours. His most recent statement left unclear what the detailed conversations had centered on. The shift nonetheless prompted an immediate reaction across global financial markets.
Gold rebounded from a Monday morning low of $4,101 per ounce to $4,413 per ounce following the news. Oil prices moved in the opposite direction, with Brent crude falling from above $113 per barrel to a low of $98 before recovering to approximately $105.91, according to Trading Economics. WTI crude dropped by more than 10% to around $88.50 per barrel before stabilizing near $93.
The broader cryptocurrency market experienced significant turbulence amid the geopolitical uncertainty. Data from CoinGlass shows that approximately $791 million in leveraged positions were liquidated across crypto markets, with $425 million of those being long positions. The scale of the liquidations reflects the volatility that preceded Trump’s announcement.
On Myriad, a prediction market operated by Dastan, the parent company of Decrypt, user sentiment toward Bitcoin shifted in a more optimistic direction following the news. Participants now assign a 49% probability that Bitcoin’s next major move will take it to $84,000 rather than $55,000, up from a low of 41% earlier in the day. The change in sentiment reflects broader market relief at the prospect of a temporary de-escalation in Middle East tensions.
Originally reported by Decrypt.
