bitcoin retreated from Sunday’s highs as renewed military conflict between Iran and Israel caused Asian stocks, including South Korea’s Kospi index, to fall sharply.
The leading cryptocurrency by market value was trading at around $62,900 at 4:00 UTC, having reached a high of $63,776 on Sunday night, according to data source CoinDesk.
WTI crude oil futures rose more than 3% to $93.50 as Iran and Israel traded airstrikes, ending the recent fragile ceasefire that had calmed energy markets. US President Donald Trump called for restraint and said he had asked Israeli Prime Minister Benjamin Netanyahu “not to retaliate.”
“I’m going to call Bibi right now and tell her not to retaliate,” he told Axios in a phone interview. “Israel had its attack and Iran had its attack. We don’t need another one.”
Still, Asian stock markets took a hit, with South Korea’s KOSPI falling more than 6.8%, causing a temporary halt to trading amid volatile conditions. Japan’s Nikkei index also fell more than 3%.
The latest rally in oil prices could only add to the upward momentum in US Treasury yields, which rose on Friday following the release of the spectacular US monthly jobs report. Hardening Treasury yields typically boost demand for dollars and dollar equivalents and weigh on riskier assets like cryptocurrencies.
Bitcoin has already taken a beating for several reasons, including Strategy’s BTC selloff, the AI stock frenzy, and the exodus of capital from spot bitcoin ETFs. Prices fell almost 14% last week, briefly penetrating the $60,000 mark.
Volatility could remain high this week as geopolitical tensions, along with the release of key data such as US inflation and major IPOs such as SpaceX and Anthropic, are likely to influence liquidity dynamics.
