Bitcoin Defies Market Turmoil, Stays Near $63.8K as War Fears Shake Assets

Gold, crude oil, equities, and bonds experienced major swings after the latest U.S. strikes on Iran, while bitcoin remained largely steady.

Bitcoin traded close to $63,800 on Monday as traditional markets reacted sharply to the fourth wave of U.S. strikes against Iran within a week. The leading cryptocurrency slipped just 0.3% over the previous 24 hours but remained about 2% higher on the week.

The market response that had been delayed during the weekend quickly unfolded once trading resumed. Spot gold dropped as much as 1.6%, falling toward $4,050 per ounce. Brent crude surged nearly 4% above $79 a barrel as uncertainty surrounding the Strait of Hormuz increased concerns about potential oil supply disruptions.

Government bonds declined broadly, with the two-year Treasury yield reaching its highest level since February 2025. Meanwhile, the MSCI Asia Pacific equity index fell 1.6% as investors reduced exposure to risk assets.

U.S. Central Command said American forces carried out strikes on Iran following an attack on a container vessel. The situation around the Strait of Hormuz remained uncertain, with Washington rejecting Tehran’s claim that the crucial shipping route would be closed indefinitely. Around 20% of global seaborne oil shipments typically pass through the strait.

Markets reacted to concerns that an expanded conflict could keep energy prices elevated and pressure the Federal Reserve to maintain higher interest rates for longer. Minutes from the Fed’s June meeting showed that some policymakers considered additional rate increases before ultimately supporting a pause. Gold weakened as higher real yields reduced demand for a non-yielding asset, while bonds also declined under expectations of prolonged monetary tightening.

Bitcoin, however, showed little reaction to the broader market turbulence. Ether remained near $1,800 and gained around 2% over the week, while most major cryptocurrencies recorded limited daily moves. Solana was among the weaker performers, trading around $76 and falling roughly 5% over seven days. XRP stayed near $1.09, while Dogecoin hovered around $0.07.

The main connection between crypto markets and broader risk assets came through South Korean equities. Shares of SK Hynix dropped 12% in Seoul after the chipmaker’s U.S.-listed shares jumped 13% during their Friday debut. The reversal contributed to a 7% decline in South Korea’s Kospi index.

The semiconductor rally had helped drive bitcoin’s recent gains, but even the sharp pullback in chip stocks on Monday failed to move crypto markets significantly in either direction.

Bitcoin has now maintained a narrow trading range despite a weekend of military escalation, a broad selloff across traditional assets, and a shift toward a more hawkish interest-rate outlook. The move highlights a changing market dynamic: bitcoin, which previously reacted strongly to geopolitical shocks, appears less focused on war headlines and more influenced by factors such as dollar liquidity conditions and technology-sector trends. Meanwhile, traditional assets continue to absorb the immediate impact of geopolitical risks.

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