According to PANews, Singapore's crypto investment firm QCP Capital stated that the conflict between Israel and Iran has entered its sixth day, and the prospects for a diplomatic resolution are bleak. G7 leaders have called for Iran to return to nuclear negotiations, but the talks are likely to be difficult to hold.
The Strait of Hormuz has become the focus, and if Iran blocks the strait, it could trigger supply shocks and inflation risks. President Trump demands the unconditional surrender of Iran, and the market expects Iran may yield, but the situation remains uncertain.
Against the backdrop of rising geopolitical conflict and inflationary pressures, the Federal Reserve faces a complex situation in its monetary policy. The market is pricing in two rate cuts in 2025, but QCP Asia expects the Federal Reserve may cut rates only once, impacting risk assets such as Bitcoin.
