After Monday’s Wall Street opening, Bitcoin (BTC), which is the digital currency equivalent of bitcoin, fell below $64,500 as investors digested new US-Iran uncertainties.
The following are key points.
- Bitcoin has fallen along with US shares amid uncertainty regarding the reopening of the Strait of Hormuz.
- It is no surprise that the Japanese yen has attracted attention, as it continues to slide towards historic lows versus the US dollar.
- Bitcoin analysis questions market strength “exceptionally strong” Institutional inflows
Iran Warns “no military solution” Hormuz is closed
TradingView data showed that BTC/USD hit $64,447 at Bitstamp. This was its lowest level since Friday before it made a modest recovery.
BTC/USD one-hour chart. Source: Cointelegraph/TradingView
It was similar to the US shares, which fell initially as the likelihood of the Strait of Hormuz oil pipeline reopening seemed to diminish.
Ali Nikzad, the deputy president of Iran’s Islamic Consultative Assembly (ICA), said in his address to that body: “opening of the Strait of Hormuz has no military solution,” As well as quoted Al Jazeera, among others.
US WTI crude oil was up by almost 5% on the day at $80.90 per barrel at the time of writing, while the S&P 500 index nonetheless reversed to turn green, still below Friday’s all-time highs.
US WTI crude one-hour chart. Source: Cointelegraph/TradingView
The Japanese yen continued to fall against the US Dollar despite a previous decline. rare joint intervention Japan and US. USD/JPY was at 159 USD/JPY on Monday. It is close to 160 USD/JPY before the start of Asia’s second session.
The economist Mohamed El-Erian said that Japan’s government would need to be more aggressive in its policy.
“The yen has been weakening gradually since the large joint Japan-US FX intervention, a sharp reminder that the key to fixing a currency ‘mispricing’ is getting the policy mix right. The longer Japan delays in doing so, the more elusive the goal of this historic intervention becomes,” He wrote Posting on X.
USD/JPY four-hour chart. Source: Cointelegraph/TradingView
Bitcoins comeback “tentative” ETFs continue to flow despite an $865 million inflow
Bitcoin experts warn of a possible BTC price rise “remains tentative” There are still some warning signs.
Related: Markets flip for Fed rate-hike pause into CPI: Five things to know in Bitcoin this week
Glassnode latest Market Pulse Update highlighted the weak momentum of spot markets as a key component missing from a sustained recovery.
“Momentum has returned toward neutral and spot taker buying has accelerated sharply, but overall centralized exchange turnover remains subdued,” Onchain Analytics Platform said. The platform added that:
“This divergence points to improving demand within a broader consolidation regime rather than a broad-based expansion in speculative activity.”
Glassnode identified institutional inflows among the catalysts for positive growth. “exceptionally strong.” The data of UK-based Investment company shows that the US Bitcoin spot exchange traded funds recorded a net inflow of $865.3 Million last week. Farside Investors.
US spot Bitcoin ETF netflows (screenshot). Source: Farside Investors
Data from onchain analytics platform CryptoQuant, meanwhile, showed that Hedge funds had flipped net long CME BTC futures — an event that CEO Ki Young Ju described as “rare.”
“The basis trade keeps them structurally short. That’s why this chart’s been red for years. You can’t carry trade into a net long. The suits are betting on upside,” he told X Followers
CME Bitcoin Futures Positioning data. Source: Ki Young Ju on X.com
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Source: cointelegraph.com
