Simply put
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Iran’s Supreme Leader, Ayatollah Ali Khamenei, recently announced a perceived victory over the United States in a post on his former Twitter account, X.
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The major cryptocurrencies, Bitcoin and Ethereum, have shown little movement, with a sense of reduced global tensions.
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Bitcoin inflows into the U.S. have been recovering since hitting a low point on June 20, coinciding with escalating tensions between Iran and Israel.
Bitcoin and Ethereum remained relatively stable as Iran’s Khamenei publicly declared victory over the U.S. early Thursday. “Congratulations to my beloved Iran for overcoming the U.S. administration,” he stated, suggesting that the U.S. involvement in war was an attempt to protect Israel, but ultimately achieved nothing.
Bitcoin saw a slight recovery, dropping 0.2% over the last 24 hours to $107,139. It had briefly looked poised to surpass $108,000, a level not seen since June 16, but then retreated. Ethereum fared a bit better, having increased by 0.2% to $2,439, according to Coingecko.
Over the past 30 days, both cryptocurrencies have dipped by 2.2% and 6.7%, with geopolitical events influencing market behavior.
James Toledano, Chief Operating Officer of Unity Wallets, noted, “It’s pretty clear that the Iran-Israel conflict is primarily driving Bitcoin price movements.” He added that the recovery seems linked to broader economic factors, including declines in the U.S. dollar and oil prices, as well as Fed rate reductions. There’s also a sense that technical support levels between $100,000 and $103,000 are holding firm.
The situation escalated with Israeli airstrikes in Iran on June 13, leading to a brief surge in fighting. Following this, the U.S. dropped a bomb on an Iranian nuclear facility. Concerns about potential massive conflict triggered $701 million in cryptocurrency movement over just one day.
However, a full-blown war has not occurred. President Trump announced a ceasefire between the nations on Tuesday, defusing some tensions, even as missiles were exchanged post-agreement. As of now, a significant majority of market observers believe the ceasefire will last until at least Friday.
Earlier on Thursday, Khamenei emphasized the triumph over the U.S., interpreting military actions as evidence of Iranian power. There are statistical predictions suggesting a 77% chance that he will retain his position through the end of September.
He remarked, “The Islamic Republic has delivered a significant blow to the U.S., which has targeted and damaged Al Udeid Air Force Base, a crucial U.S. facility in the region.”
Bitcoin ETF inflows in the U.S. have shown steady growth after plunging to $6.4 million on June 20 amidst the conflict. Recent reports indicate these ETFs had inflows worth $547.77 million.
Similarly, Ethereum ETFs had a low of $11.3 million but rebounded to $604 million on Wednesday, as reported by Coinglass.
In total, the cryptocurrency market has decreased by 1.6%, with Bitcoin Cash gaining 3.5%, while SEI surged 10.3%, exhibiting some of the most significant movement.
