Bitcoin and US equities remain resilient despite escalating Middle East conflict and threats of further military action.
Bitcoin (BTC) traded near $67,000 on Wednesday, down just 1% after reaching five-week highs, as markets largely ignored rising US-Iran tensions. The cryptocurrency and US stocks extended gains despite President Donald Trump’s pledge to target Iranian infrastructure in response to attacks in the Strait of Hormuz.
Earlier, BTC/USD climbed to levels not seen since mid-May, while the S&P 500 also advanced. Analysts noted that risk assets appeared unfazed by geopolitical risks, with some predicting Bitcoin could outperform equities in the near term. Oil prices were the only major market reacting to the escalation.
Traders cited a potential short squeeze in US equities as a key driver, though crypto markets showed relative stability. The lack of significant volatility in BTC suggested growing investor confidence amid broader macroeconomic uncertainty.