#FOMCMeeting
The impact of the war between Israel and Iran on cryptocurrency markets is characterized by sharp fluctuations and uncertainty. According to a JPMorgan report, the escalation of the war could lead to oil prices rising to $120 per barrel, which may result in ¹:
- *Increased Inflation*: Inflation in the United States could reach 5%, increasing the risks of liquidity tightening and pushing investors away from risky assets like Bitcoin towards safer assets.
- *Impact on Bitcoin*: The price of Bitcoin may decline due to rising U.S. interest rates, leading to liquidity tightening and increased borrowing costs.
- *Competition with Gold*: Demand for gold as a safe haven may increase, potentially leading to a rise in its price and a decrease in demand for Bitcoin.
*Potential impacts on the markets*:
- *Rising Oil Prices*: This could lead to increased production costs and negative effects on the global economy.
- *Fluctuations in Financial Markets*: The war could lead to significant fluctuations in financial markets, including stock, bond, and cryptocurrency markets.
- *Increased Demand for Safe Havens*: Demand for safe assets like gold and government bonds may rise, potentially leading to higher prices.