Bitcoin Rises as Israel-Iran Ceasefire Lifts Market Sentiment

Bitcoin prices surged on Tuesday, gaining over 3% as geopolitical tensions in the Middle East appeared to ease following U.S. President Donald Trump's announcement of a ceasefire between Israel and Iran. The move spurred a broader recovery across risk assets, including equities and cryptocurrencies.

📈 Bitcoin Breaks Higher, Tracks Risk Rally

• Bitcoin (BTC) rose 3.2% to $105,042.5 by 05:24 GMT.

• The world's largest cryptocurrency remained within the range-bound consolidation seen throughout June but edged closer to the upper band of that range.

The gains came as equity markets and high-beta assets rallied following signs of de-escalation in the Middle East. Media outlets reported both Tehran and Jerusalem acknowledged the ceasefire, despite continued missile activity until shortly before the agreement took effect at 01:00 ET (05:00 GMT).

“An end to hostilities in the Middle East is likely to serve as a major boost to risk appetite,” analysts noted, especially after last week's sharp pullbacks.

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🌍 Geopolitics Drive Crypto Momentum

The ceasefire, brokered and announced by Trump via social media, marks a potential resolution to what he dubbed “THE 12 DAY WAR” between Iran and Israel. Despite last-minute missile attacks from Iran, the agreement appears to be holding for now.

Markets had shown only a mild reaction to the earlier U.S. bombing of Iranian nuclear sites. Risk assets bounced as hopes grew for no further escalation.

Still, investors remain cautious. Middle East tensions have historically driven both sharp spikes and corrections in crypto and commodities, and trust in the ceasefire's durability remains low.

🏛️ U.S. Senator Introduces Bill to Ban Officials from Crypto Investments

On the regulatory front, Democratic Senator Adam Schiff introduced the COIN (Curbing Officials' Income and Nondisclosure) Act on Monday. The bill seeks to ban U.S. government officials, including President Trump and members of Congress, from investing in or endorsing digital assets.

Schiff directly targeted Trump's crypto ventures, stating:

“Donald Trump and other senior administration officials have made a fortune off of crypto schemes.”

The proposed legislation adds a new layer of scrutiny to crypto-politics intersection, which is expected to gain prominence ahead of the 2025 presidential cycle.

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🔍 Outlook

• Bitcoin's resistance remains around $107K-$110K, with volatility expected near upcoming U.S. inflation data and Powell's Congressional testimony.

• Geopolitical stability could sustain risk-on sentiment, but any breakdown in the ceasefire may quickly reverse gains.