June 24 Crypto Market #Outlook
Today's crypto market staged a "roller coaster" market. After the weekend's plunge caused by the escalation of the situation in the Middle East and inflation concerns, market sentiment quickly reversed as Iran and Israel announced a formal ceasefire. The price of Bitcoin once exceeded $106,000, an increase of more than 5%, and is now around $105,000, rebounding sharply from the lowest level of nearly $99,000 in 24 hours; Ethereum performed even stronger, with the increase once expanding to 7%, returning to above $2,400; Dogecoin, Cardano and other mainstream cryptocurrencies all rose by more than 6%.
The weekend's plunge was the result of both geopolitical and macroeconomic factors. Iran threatened to block the Strait of Hormuz, geopolitical conflicts intensified, investors' risk aversion increased, and a large number of risk assets were sold, with cryptocurrencies being the first to be affected. At the same time, inflation concerns rekindled. In times of economic instability, investors tend to hold traditional safe-haven assets and reduce investment in cryptocurrencies. Today's rebound benefited from the easing of the situation, the fading of market panic, and the rapid recovery of investor confidence.
