A fragile calm swept across the financial landscape on this balmy Tuesday as former U.S. President Donald Trump claimed on Truth Social to have orchestrated a ceasefire between Israel and Iran. The announcement sent ripples through the crypto markets, with major tokens like Ether, Solana, and Cardano surging approximately 7% over the past 24 hours. As Ether leaped back above the $2,400 mark, Solana and Cardano also found firm footing above $140 and 50 cents, respectively. This buoyancy in the crypto realm came as a welcome reprieve after a tumultuous start to the week, where nearly $600 million in long positions were liquidated.
Market Reacts to Diplomatic Overture
The digital currency space isn’t just about numbers; it’s a barometer for global sentiment. Trump’s assertion—awaiting confirmation from the involved nations—brought a much-needed sigh of relief. As Augustine Fan, head of insights at SignalPlus, remarked, “We think the market will soon normalize and move on from the latest geopolitical episode.” However, Fan expressed caution over potential market shakeouts, driven by the recent flurry of public companies eyeing Bitcoin as a treasury asset. This follows previous concerns highlighted in Trump’s Crypto Risk, The CRCL Trade, Market Volatility.
This geopolitical development didn’t just ignite crypto; it also nudged traditional markets. Brent crude dipped by 1.8%, and S&P 500 futures turned positive, illustrating the intertwined nature of global finance. Yet, the crypto world, with its penchant for swift reactions, saw traders eagerly pivot back to altcoins, betting on a period of reduced volatility.
Bitcoin’s Steadfast Performance
Amidst the flurry of market activity, Bitcoin held its ground around the $105,000 mark, continuing its dance with overhead resistance. Institutional flows remained steady, underscoring a robust undercurrent of confidence in the leading cryptocurrency. “Its ability to hold above $100K underscores resilience amid geopolitical and macro volatility,” noted Kay Lu, CEO of HashKey Eco Labs. Lu pointed to the decoupling of Bitcoin from traditional risk-off signals, suggesting its evolving role as a macro hedge—a sentiment echoed by many in the industry.
While the crypto space basked in the glow of this unexpected diplomatic development, some traders remained wary of the next potential move. Profit-taking looms as a possibility, particularly in tokens that have seen rapid appreciation, like Ether. This cautious sentiment was previously explored in Ether, Solana, and Other Majors Could Slide Further as Trump Threatens Iran Strikes.
Looking Forward: Uncertainties and Opportunities
As the world watches for official confirmation of the ceasefire, the crypto markets are left to navigate a landscape filled with both promise and pitfalls. Will the recent gains hold, or will they be short-lived in the face of profit-taking and broader market dynamics? The coming days will be crucial in determining whether this rally has legs or if it’s merely a temporary blip in an otherwise turbulent market.
For now, the crypto community remains cautiously optimistic, eyes glued to the screens, as they weigh the implications of this geopolitical maneuver. While the diplomatic landscape evolves, the pulse of the crypto markets continues to beat with an intensity that captures the essence of our interconnected world.
Source
This article is based on: Ether, Solana, Cardano Spike 7% as Trump Claims to Broker Israel-Iran Ceasefire
Further Reading
Deepen your understanding with these related articles:
- Trump’s Bitcoin Bet Lifts BTC and ETH as Wall Street Panics Over Iran: Analysis
- Strategy adds $1B in Bitcoin as Israel-Iran conflict pressures markets
- BlackRock drives $412M Bitcoin ETF inflows amid Israel-Iran conflict
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
