Bitcoin pulled back from Sunday highs as renewed military conflict between Iran and Israel sent Asian stocks, including South Korea’s Kospi index, sharply lower.
The leading cryptocurrency by market value traded at around $62,900 at 4:00 UTC, having hit a high of $63,776 late Sunday, according to data source CoinDesk.
WTI crude oil futures jumped over 3% to $93.50 as Iran and Israel traded airstrikes, ending the recent fragile ceasefire that had calmed energy markets. U.S. President Donald Trump called for restraint and said he has requested Israeli Prime Minister Benjamin Netanyahu “not to retaliate”.
“I am going to call Bibi right now and tell him not to retaliate,” he told Axios in a telephonic interview. “Israel had its strike and Iran had its strike. We don’t need another one.”
Still, Asian equity markets took a beating, with South Korea’s KOSPI falling over 6.8%, prompting a temporary trade halt amid volatile conditions. Japan’s Nikkei index also fell over 3%.
The latest spike in oil prices could only add to the upward momentum in the U.S. Treasury yields, which surged Friday following the release of the blowout monthly U.S. jobs report. Hardening of Treasury yields typically boosts demand for the dollar and dollar equivalents and weighs over riskier assets like cryptocurrencies.
Bitcoin has already taken a beating for several reasons, including Strategy’s BTC sale, the AI stock frenzy, and the exodus of capital from spot bitcoin ETFs. Prices fell nearly 14% last week, briefly penetrating the $60,000 mark.
Volatility could remain high this week as geopolitical tensions, coupled with key data releases such as U.S. inflation and major IPOs like SpaceX and Anthropic, are likely to influence liquidity dynamics.