“We’re seeing Bitcoin surge back to $105,000 and other major currencies like Ethereum, Solana, and XRP showing strong rallies of their own,” David Siemer, CEO of crypto asset manager Wave Digital Assets, told Fortune. “This is largely due to easing tensions in the Middle East after the U.S.-brokered ceasefire between Israel and Iran.”
The threat of all-out war between the two nations grew in recent weeks as Iran retaliated by launching airstrikes of its own against Israel, and the two nations continued to exchange fire. However, the conflict escalated to a new level when Trump announced that the U.S. military had conducted airstrikes on multiple nuclear sites in Iran over the weekend.
News that the U.S. had become involved in the conflict between Iran and Israel sent investors fleeing volatile assets like cryptocurrencies. Bitcoin fell from $103,000 to below $100,000 on Sunday for the first time in more than a month, as investors braced for Iran’s response to the attack.
It remains to be seen if the ceasefire will hold, or what will happen next. But for now, cryptocurrency holders are enjoying the rebound after previous lows on Tuesday.
“There is reason to believe that markets may continue to be reactive over the next few weeks,” Siemer said. “Institutional players in the digital asset space are closely watching developments and assessing their risk appetite.”
