Early this morning, June 24, 2025, Bitcoin (BTC) price recovered strongly, reaching $106K after falling below $98,500 last Sunday. Bitcoin's recovery momentum began after US President Donald Trump announced a "complete ceasefire" between Israel and Iran, confirmed by the Israeli Prime Minister.
The positive sentiment also spread to other financial markets. Brent crude oil prices fell 2.01% to below $68/barrel, while spot gold prices fell 1% to $3,333.82/ounce.
Meanwhile, the S&P 500 rose 1%, reflecting a shift from safe-haven assets to riskier assets. In the past 12 hours, the crypto market has liquidated $417 million, mostly short positions, indicating that investor sentiment is quickly turning bullish.
Another important driver of BTC’s rally is the expectation of the Fed easing monetary policy. According to CME Group’s FedWatch tool, the probability of the Fed keeping the interest rate at 4.25% until November has decreased from 17.1% to 8.4% in a week.
On the other hand, despite the sharp price fluctuations, the BTC derivatives market has shown stability. The rally to $106K has liquidated $193 million in long leveraged positions. The total leveraged position is now $68 billion, almost unchanged from last Saturday. This shows that traders maintain confidence in the long-term uptrend.
Aside from market factors, Bitcoin mining activity also attracted attention during this volatility. BTC's hashrate fell by 8%, from 943.6 million terahashes per second (TH/s) to 865.1 million TH/s
The drop may be related to mining disruptions in the Middle East, particularly in Iran, where unlicensed mining operations are believed to be consuming up to 2 gigawatts of electricity. Expert Daniel Batten noted that hashrate fluctuations are not unusual. They are often caused by temporary factors, such as power outages.
Overall, Bitcoin’s rapid recovery above $100K reflects strong investor interest, even amid geopolitical uncertainty. However, expecting a further rally to $110K based solely on a ceasefire in the Middle East may be too optimistic. The market remains vulnerable, especially if conflict re-emerges or the Fed fails to deliver on its expected rate cuts.