Cryptocurrency prices surged on Monday after US President Trump said the nation would attack Iran.
Trump said in a Truth Social post that the two countries had “very good and productive conversations about a complete and total resolution of our hostilities in the Middle East.”
Strikes against Iran’s infrastructure will be postponed for a period of five days, Trump said in the post.
bitcoin it bounced almost 5% above $71,000 in the early morning hours in the US on the news after plunging below $68,000 overnight. Ether (ETH), solana (SOL and Chainlink They are up 5% in the last 24 hours as cryptocurrencies jumped across the board.
Gold has almost erased almost all of its previous losses, now down just 1% on the day and recovering to $4,440 an ounce. The US dollar index, DXY, has fallen to 99.3.
Bond yields have declined globally, with the US 10-year bond yield falling 100 basis points to 4.3%.
Meanwhile, WTI crude oil is down 11% on the day, trading below $88 per barrel, while Brent crude oil has fallen 8% to around $100 per barrel. Tokenized Brent crude oil futures saw liquidations worth $62.4 million on Hyperliquid. do
CoinGlass data shows $62.41 million in liquidations in the XYZ:BRENTOIL contract over the last 24 hours, of which $61.69 million are long positions and only $717,000 are short positions.
Galaxy Digital (GLXY) is up 2%, while Coinbase (COIN) and IREN (IREN) have also gained around 2% each.
Trump’s five-day postponement does not end the war, however, as Iran continues to attack targets throughout the Gulf.
Meanwhile, Strategy (MSTR), the largest corporate holder of bitcoin, is up more than 3% in pre-market trading.
Despite the knee-jerk risk-on reaction in markets and falling oil prices, bitcoin-linked options continue to reflect a defensive bias.
At the time of writing, put options on Deribit continue to trade at an 8-10 point volatility premium over calls through the end-June expiry, virtually unchanged from earlier in the day, according to data source Amberdata. The same goes for ether options.
This suggests that traders remain cautious, viewing the latest rebound with skepticism and bracing for possible aftershocks of the recent oil surge to broader markets and the global economy.
CORRECT (March 23, 11:30 UTC): Corrects first paragraph to say attacks will be postponed. An earlier version of this story said they would intensify.
