Geopolitical Tensions Shake Markets: Gold Surges While Bitcoin Slips
Gold prices are surging while Bitcoin struggles, as rising geopolitical tensions — particularly the escalating Israel-Iran conflict — send shockwaves through global markets.
The latest military strike by Israel on Iran has sparked fears of a wider regional war, triggering over $1 billion in crypto liquidations.
🔻 BTC dropped nearly 3% in the past 24 hours to around $104,830
🔻 ETH fell over 10% following the attack, deepening the crypto market downturn.
Meanwhile, gold is rallying toward new highs, regaining its status as a traditional safe-haven asset during geopolitical instability. At the time of writing, gold was trading around $3,422, with key resistance levels at $3,440 and above.
📊 Analysts are beginning to question Bitcoin’s role as a reliable hedge during times of crisis. According to Marcin Kazmierczak, COO of RedStone, Bitcoin’s correlation with equities remains inconsistent — ranging from -0.2 to 0.4 — making it unreliable as a pure safe-haven asset.
🚨 Tensions continue to escalate as Iran vows retaliation. North Korea has voiced support for Iran, while China and Russia — both members of the SCO alliance with Iran — condemn Israel’s actions. The U.S. appears torn between diplomatic strategy and its alliance with Israel, with former President Trump stating that he’d prefer not to see escalation due to ongoing nuclear deal negotiations.
