Cryptocurrency markets took a hit following recent Israeli airstrikes targeting Iran’s nuclear and missile facilities, stirring global uncertainty and prompting investors to retreat from risk assets. Over the past 24 hours, the CoinDesk 20 Index (CD20), which tracks the broad crypto market, declined by 6.1%, while Bitcoin (BTC), often considered a safe haven, fell by 2.9%. Meanwhile, traditional safe-haven assets like gold futures gained 1.3%, offering some refuge amid the turmoil.
Israeli Prime Minister Benjamin Netanyahu announced that the strikes targeted Iran’s nuclear and military leadership, aiming to curb Iran’s nuclear ambitions and missile capabilities. Iran, which has long called for Israel’s destruction, responded swiftly by launching 100 suicide drones toward Israeli territory. Experts anticipate that Iran may escalate its retaliation in the coming days.
This escalation came shortly after the International Atomic Energy Agency (IAEA) revealed Iran was not adhering to uranium enrichment limits, adding to regional tensions. The United States clarified it was not involved in the attack, which resulted in the deaths of some Iranian military leaders.
The geopolitical unrest sent shockwaves through financial markets worldwide. Japan’s Nikkei index dipped by about 0.9%, U.S. stock futures fell 1.2%, and the Euro Stoxx 50 declined by 1.35%. Oil prices surged sharply, with U.S. crude jumping over 6% to $73 per barrel and Brent crude spiking by 14%, reaching new highs for the period. Gold prices climbed close to their all-time high, reaching $3,445 per ounce.
In the cryptocurrency space, the recent downturn erased earlier gains driven by speculation around ETF approvals. Notably, Solana’s SOL token experienced a significant drop of nearly 9.5% after reports surfaced that the SEC had asked ETF issuers to update their filings, potentially speeding up approval processes. Despite this, industry analysts remain optimistic about the likelihood of ETF approvals by year’s end, with some suggesting they could happen as soon as July or within a few weeks of updated filings.
Investors are now closely watching the Middle East situation. Polymarket traders assign a 91% chance of Iran retaliating against Israel this month, while the odds of U.S. military intervention in Iran have increased from 4% to 28%. Stay alert as developments unfold.
Meanwhile, institutional interest in crypto continues, with Bitcoin spot ETF inflows reaching nearly $940 million this month and Ethereum (ETH) attracting over $810 million. Yet, geopolitical tensions dominate market attention, underscoring the importance of staying informed during this volatile period.
Key upcoming events include a 3-for-1 share split for the 21Shares Bitcoin ETF, Brazil’s launch of USD-settled ETH and Solana futures, and significant political decisions like the U.S. Senate’s vote on the GENIUS Act of 2025. Traders should also monitor upcoming governance votes, token unlocks, and new token launches, as these can influence market dynamics.
Overall, with risk assets under pressure and geopolitical risks escalating, investors are advised to remain cautious and keep a close eye on regional developments that could impact the global financial landscape.
