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Bitcoin holds near $63,800 as war-driven selloff hits everything but crypto
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- DeepHorus
Bitcoin held near $63,800 on Monday, showing resilience as traditional markets experienced sharp selloffs following the fourth round of U.S. strikes on Iran. The largest cryptocurrency was down just 0.3% over 24 hours and up 2% on the week, while gold, oil, equities, and government bonds all slumped. This muted reaction marks a notable shift from past episodes of Middle East tension, when bitcoin often sold off on geopolitical headlines.
The U.S. Central Command said it struck Iran in response to an attack on a container ship, escalating a week-long campaign. The status of the Strait of Hormuz was left unclear, with the U.S. denying Iran's statement that the waterway would close. Roughly a fifth of the world's seaborne oil normally passes through Hormuz, fueling supply worries.
Spot gold slid as much as 1.6% to near $4,050 an ounce, while Brent crude jumped 4% to above $79 a barrel. Treasuries fell across the curve, with the two-year yield climbing to its highest since February 2025. MSCI's Asia Pacific equities gauge dropped 1.6%, with South Korea's Kospi down 7% as chipmaker SK Hynix plunged 12%.
The moves priced a single fear: that a wider conflict keeps oil elevated and forces the Federal Reserve to hold rates higher for longer. Minutes of the Fed's June meeting showed a few policymakers saw a case for raising rates before backing a hold. Gold fell because higher real yields dull its appeal, and bonds fell for the same reason.
Bitcoin sat out the turmoil entirely. Ether was little changed at about $1,800, up 2% on the week, and other majors barely moved. Solana was the weakest at $76, down 5% over seven days. XRP held $1.09 and dogecoin sat near $0.07.
This is a marked change for a market that once sold off fast on a single Hormuz headline. Analysts note that bitcoin is no longer trading the war, instead taking its direction from dollar liquidity and the chip-driven equity cycle. The token now moves more in line with the tech trade than with geopolitical risk.
Looking ahead, if bitcoin continues to decouple from war-driven volatility, it could strengthen its narrative as a risk-on asset tied to liquidity rather than a safe haven. The coming weeks will test whether this pattern holds, especially as the Fed's rate path remains uncertain and the chip cycle drives equity markets.
