Crypto Strengthens, US-Iran Changes Market Sentiment
Bitcoin strengthened during the European session on Monday (June 15th), moving around US$65,653 after hitting an intraday high of US$65,935. Ethereum also rose to around US$1,722, with an intraday high of US$1,728.64. This increase extended the crypto recovery after global risk sentiment improved due to the initial US-Iran agreement to reopen the Strait of Hormuz and end the conflict.
The main sentiment came from a change in global market mood. The US-Iran agreement sent Brent oil down nearly 5%, while European markets hit new highs. This condition indicates that investors are starting to reduce geopolitical risk premiums and are returning to riskier assets, including stocks and crypto.
For Bitcoin, the fundamental transmission comes from three channels: geopolitical risks are easing, oil prices are falling, and inflation and interest rate expectations are softening. When energy inflation pressures subside, markets tend to reduce concerns that central banks will have to maintain high interest rates for longer. These conditions support non-yielding and risky assets like Bitcoin, especially when the US dollar is also weakening.
However, Bitcoin's rally hasn't been entirely unimpeded. Outflows from spot ETFs remain a major drag, although outflow pressure has eased compared to previous weeks. This means that the current rally is largely driven by improving macro sentiment, while institutional support for ETFs has yet to regain its strength.
Altcoins also moved positively along with risk-on sentiment. Ethereum rose alongside Bitcoin, while Solana, Cardano, XRP, and BNB tended to strengthen following the broader crypto market recovery. However, altcoin gains are still selective, as some global investors continue to prefer assets with clearer fundamental narratives, particularly technology and artificial intelligence stocks.
Currently, Bitcoin is supported by a weakening dollar, falling oil prices, and improving global risk appetite. The next focus is on the official signing of the US-Iran deal, the direction of oil prices, Bitcoin spot ETF flows, and the Fed's signal. If risk-on sentiment persists and ETF outflows continue to shrink, Bitcoin has the potential to maintain the US$65,000 area. However, if the deal stalls or the dollar strengthens again, the recovery momentum could be stalled again. (Arl)
Source: Newsmaker.id
