Bitcoin Holds Above $100K as U.S. Dollar Slides Following Iran‑Israel Ceasefire

Geopolitical Relief Weakens U.S. Dollar

Tensions in the Middle East eased after a tentative ceasefire was announced, leading to a marked decline in demand for safe-haven assets like the U.S. Dollar. The Dollar Index (DXY) fell below 98.00, pulling back from recent highs.

Bitcoin Weathering the Shift

On the back of the Dollar’s retreat, Bitcoin rebounded from just under $100,000 and is now trading around $105,000–107,000. Analysts highlight a surge in risk appetite that supports crypto markets during such macroeconomic shifts .

Key Drivers Behind the Move

• Ceasefire Impact: Market confidence improved as geopolitical risks eased, with investors reallocating from treasuries and cash into equities and crypto.
• Institutional Backing: Ongoing inflows in U.S. spot BTC ETFs—now in their tenth consecutive day—underscore robust institutional appetite.
• Macro Headwinds Fading: Softer oil prices and dovish commentary from Fed officials, including openness to rate cuts, are lifting risk asset sentiment.

Technical Outlook

Technical indicators suggest a bullish bias. Bitcoin's recovery above $105,000 has triggered a bullish crossover on the MACD. A sustained break above this level could open the door to $110,000 and potentially $120,000 in the event of bullish momentum. If resistance holds, a retest of $100,000 is likely.

Future Watchpoints

• Federal Reserve Signals:  Upcoming remarks from Fed Chair Jerome Powell could influence investor sentiment and impact risk assets.
• ETF Flows: Continued inflows into Bitcoin ETFs will serve as a key barometer of institutional conviction.
• Stability of Ceasefire: Any reversal in the Middle East could renew demand for safe-haven assets and pressure crypto markets.

Final Word:

Bitcoin’s ability to hold above the $100,000 level amid a weakening Dollar highlights its growing role in a risk-on market environment. While technical resistance remains, a stable ceasefire and upbeat macro news could propel BTC toward new highs. Traders and investors should monitor ETF flows, Fed commentary, and geopolitical developments closely.