Bitcoin’s price showed limited reaction to escalating geopolitical tensions over the weekend, trading between roughly $63,000 and $68,000. Analysts argue the conflict has not changed the cryptocurrency’s trajectory, maintaining pre-existing bullish short-term and bearish mid-term outlooks. Some suggest the market had already priced in the US-Iran conflict, with further moves dependent on traditional market reactions and the potential for de-escalation.
Bitcoin traded in a volatile range between roughly $63,000 and $68,000 as markets responded to rising US-Iran tensions. The cryptocurrency slipped to around $65,500 on Monday despite a sharp reaction in traditional markets.
Market commentators state the conflict has not changed Bitcoin’s trajectory. Mr. Wall Street stated that “nothing changed with the new war,” maintaining a bullish short-term and bearish mid-term outlook.
He does not believe the cycle bottom is in at $60,000. According to him, the cycle bottom will form later this year, around $45,000, but only after Bitcoin first rallies to the $80,000-$85,000 range.
Another commentator, Doctor Profit, also maintained that the war does not alter his broader bearish positioning. He wrote that Bitcoin “remains in an absolute high risk zone” and the market has not bottomed yet.
“The war changes nothing in my bearish outlook for Crypto and Stocks,” he added. He noted his “big short” position has remained open since September.
Trader CrypNuevo said the market had already been pricing in the US-Iran conflict throughout the previous week. He explained markets cannot fall much further because the event was largely anticipated.
He pointed to uncertainty around the length of the war and the status of the Strait of Hormuz. His strategy is to wait for the stock market’s reaction to determine entry points for a long position on Bitcoin.
