Bitcoin Under Pressure, Iran Conflict Causes Crypto Sluggishness
Bitcoin weakened again on Monday (July 13th), as escalating tensions between the US and Iran have caused investors to shy away from risky assets. Currently, Bitcoin is trading around US$63,154, with daily movements ranging from US$62,580 to US$64,273.
The pressure on Bitcoin arose as the market returned to risk-off mode after the US and Iran launched fresh attacks on each other over the weekend. Uncertainty over the status of the Strait of Hormuz also added to concerns, as this waterway is crucial for global energy supplies.
Rising oil prices due to this conflict have raised new concerns about inflation. If inflation rises again, central banks like the Fed could potentially maintain high interest rates for longer or even open up the possibility of rate hikes. This situation is usually unfavorable for crypto because assets like Bitcoin do not provide a yield.
Pressure is also seen in altcoins. Ethereum is hovering around US$1,624.95, XRP at US$1,059, Solana at US$77.97, Cardano at US$0.1603, BNB at US$569.98, and Dogecoin at around US$0.0725. This movement indicates that crypto market sentiment remains weak and has yet to receive a strong positive boost.
Technically and sentimentally, Bitcoin still needs to break through the US$64,000–US$65,000 area to open up the opportunity for a healthier rebound. If it fails to hold above US$62,500, selling pressure could continue towards the US$61,000–US$60,000 area. Currently, the direction of crypto remains highly dependent on developments in the Middle East conflict, oil prices, US inflation data, and the Fed's policy signals. (arl)
Source: Newsmaker.id
