Bitcoin Bounces as Oil Prices Plummet Amid Iran Conflict Pause

Bitcoin has recovered from its weekend low, climbing over 3% to reach an intraday high of $65,722.

This rebound follows a pause in hostilities between the US and Iran, which sent oil prices sharply lower and improved risk appetite across global markets.

The Iran conflict had been fueling concerns about inflation and triggering expectations of a more aggressive monetary policy stance from the Federal Reserve.

However, falling energy prices have eased these concerns, with Brent crude dropping over 4% to $92 per barrel and West Texas Intermediate decreasing by over 5% to around $84.

This decline in oil prices has boosted short-term risk appetite and reduced inflation expectations, which is typically supportive for speculative assets like Bitcoin.

According to CME data, the odds of a rate hike at the July Fed meeting have dropped to around 30% from 37%, indicating a decrease in the likelihood of a monetary policy tightening.

A continued rebound in Bitcoin could send it toward $70,000 by late July or early August, but this would depend on its ability to reclaim key technical levels and break out above the falling wedge pattern.