Bitcoin Drops 0.2% Ethereum Gains 0.2% Amid Iran-US Tensions

Bitcoin and Ethereum have experienced a period of stagnation in their trading values as Iran's supreme leader, Ayatollah Ali Khamenei, declared a victory over the United States. This declaration came early on Thursday and was made via a post on X, formerly known as Twitter. Khamenei's statement highlighted Iran's strikes on U.S. bases as a demonstration of power, claiming that the U.S. entered the conflict to save the Zionist regime but ultimately achieved nothing.

Despite the geopolitical tensions, leading cryptocurrencies Bitcoin and Ethereum have traded sideways. Bitcoin saw a momentary recovery but is now down 0.2% to $107,139 over the past 24 hours. Ethereum has fared slightly better, climbing 0.2% to $2,439. Both coins are down 2.2% and 6.7% over the past 30 days, likely due to geopolitical concerns.

The recent conflict between Iran and Israel, which began with airstrikes on June 13, led to a period of heightened tensions. The United States' involvement, including the dropping of bombs on Iranian nuclear facilities, initially spooked markets and prompted significant crypto liquidations. However, a ceasefire announced by President Trump on Tuesday has helped to ease tensions, with 93% of users on Myriad Markets believing the ceasefire deal will hold at least until Friday.

Khamenei's claim of victory over the U.S. has been met with skepticism, but it has also been noted that the Islamic Republic delivered a heavy blow to the U.S. by attacking and inflicting damage on the Al-Udeid Air Base, a key U.S. base in the region. This has led to speculation about the likelihood of Khamenei remaining in power by the end of September, with Myriad Markets placing it at 77%.

U.S. Bitcoin ETF inflows have been steadily recovering from a June 20 low, which came as fighting between Iran and Israel intensified. On Wednesday, the ETFs saw $547.7 million worth of inflows. Similarly, U.S. Ethereum ETFs saw $11.3 million worth of outflows on June 20 but have since bounced back to $60.4 million worth of inflows on Wednesday.

Despite the recent geopolitical tensions, the crypto market has shown resilience. According to CoinGecko, the crypto market is down 1.6% with Bitcoin Cash leading the way for gains up 3.5% and Sei down the hardest 10.3%. The market's reaction to the conflict highlights the interconnectedness of global events and their impact on cryptocurrency prices.