The Bitcoin and Ethereum Prices continue to struggle, with BTC falling to a low of $70,000 this weekend. This comes at a time when tensions between the US and Iran continue to escalate, with no sign of a ceasefire anytime soon.
Bitcoin and Ethereum Prices Struggle as the Iran War Continues
Bitcoin and Ethereum prices remain under pressure the war in Iran is entering its third week. Tensions escalated this weekend with attacks on the US embassy in Iraq Fortune report. The US embassy had indicated that these attacks were carried out by terrorist militias affiliated with Iran.
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It is striking that the attacks on the American embassy took place in the midst of American air raids Iran’s Kharg Islandan important oil terminal for the country. Bitcoin and Ethereum prices fell significantly after the US attacks on the island. The strikes raised concerns that this could further push up oil prices, which is bearish for BTC and ETH.
Brent crude oil futures have already risen to $106 today TradingView datain response to US attacks on Kharg Island. Oil prices may also continue to rise as the Strait of Hormuz, a major oil chokepoint, remains effectively closed. About 20% of global oil supplies pass through the Strait, which is why its closure could cause a massive supply shock and lead to new highs.
Market analyst XWIN research warned that Bitcoin could face significant outflows if the Strait of Hormuz remains closed, which would put pressure not only on BTC but also on the price of Ethereum and other crypto assets. In an interview on ABC’s ‘This Week’, US Energy Secretary Chris Wright warned that there are no guarantees that oil prices will fall in the coming weeks.
Meanwhile, Bitcoin and Ethereum prices are also under pressure, with the Fed unlikely to cut rates this week. FOMC meeting. There are also concerns that the FOMC could further delay rate cuts due to rising oil prices, which threaten to drive up inflation.
Peter Brandt predicts a rally is coming
Experienced trader Peter Brandt has suggested that Bitcoin could see a relief rally even during the US-Iran war. In one X messagehe shared an accompanying chart showing that BTC could reach as high as $88,000. BTC and Ethereum prices may already see this relief rally, with these crypto assets up more than 3% and 7% respectively today.
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Crypto analyst Julio Moreno had warned earlier that the crypto market is still in a bear market despite any relief gains for Bitcoin and Ethereum prices. Expert repeated Benjamin Cowen a similar sentiment, noting that BTC often spends more time rising than falling. He added that when the flagship crypto falls, it falls very quickly, hits a low and then rises for a week before falling.
Featured image from Pixabay, chart from Tradingview.com