Crypto Market Surges After Iran-Israel Peace Deal with $482 Million Liquidation
The crypto market experienced a rally following the peace deal between Iran and Israel, with Bitcoin rising by 4% and altcoins such as Ethereum, XRP, Solana, and Dogecoin increasing by 8% within 24 hours. This surge is attributed to a revived risk-on sentiment as oil prices fell below $65 per barrel.
Key developments include:
- Crypto liquidations reached $482 million, with $360 million in short liquidations.
- Increased inflows into spot Bitcoin and Ethereum ETFs indicate renewed institutional interest.
- Bitcoin maintained support above $104,400, crucial for bullish momentum.
- Bitcoin futures open interest rose by 1.5%, signaling bullish trader sentiment.
- Major players like MicroStrategy continue accumulating Bitcoin.
- Crypto investment products saw over $1.2 billion in inflows last week, totaling $15.1 billion year-to-date.
Analyst Michael van de Poppe likened the current market conditions to the altcoin bottom during COVID-19, suggesting that decreasing geopolitical tensions might bolster the market further. He predicts a decline in the U.S. Dollar and a potential breakout for the Chinese Renminbi, which could catalyze significant growth in Bitcoin and the broader cryptocurrency market.