The latest conflict between Israel and Iran stems from Israel's airstrikes on nuclear facilities, missile factories, and military leaders within Iran, resulting in the deaths of high-ranking members of the Iranian Revolutionary Guard and nuclear scientists. Iran subsequently retaliated with over a hundred drones against Israel, leading both sides into a state of heightened confrontation, and the regional situation escalated sharply.

This conflict has triggered severe turbulence in global financial markets, with the cryptocurrency market being the most affected. In the short term, cryptocurrency market volatility has increased, risk-sensitive assets have been sold off, and safe-haven sentiment has pushed up prices of traditional safe-haven assets like gold. However, historical experience shows that if the conflict does not escalate into a global crisis, the cryptocurrency market usually tends to gradually recover after the panic.