Markets faced a sharp risk-off move Thursday as escalating tensions tied to the Iran conflict drove oil prices and bond yields significantly higher, pressuring risk assets across the board.
Bitcoin recovered part of its earlier losses later in the session after U.S. President Donald Trump announced an extension of the pause on strikes targeting Iran’s energy infrastructure. Posting on Truth Social, Trump said the halt would be extended to 10 days, pointing to ongoing diplomatic negotiations.
“At the request of the Iranian government, I am extending the pause on energy facility strikes by 10 days,” Trump said, adding that talks are continuing and showing progress.
The development helped stabilize sentiment following a difficult trading day that saw bitcoin drop around 3% and the Nasdaq decline 2.4%. The tech-heavy index is now roughly 10% below its late-January high.
While rising oil prices have dominated market focus since the outbreak of hostilities, the concurrent sell-off in Western bond markets is emerging as a more pressing concern.
The U.S. 10-year Treasury yield, which was below 4% just weeks ago, surged to as high as 4.43% before easing slightly to around 4.41%. The sharp rise has effectively wiped out expectations for Federal Reserve rate cuts and has fueled speculation that additional rate hikes may be forthcoming.
Similar moves are being seen across European bond markets, where rising yields are also reshaping expectations for central bank policy.
Following Trump’s announcement, bitcoin rebounded about 1% from its session lows, climbing back above $69,000. Major altcoins, including ether, XRP, Solana and Cardano, also bounced, though they remained down roughly 3% to 5% over the past 24 hours.
About The Author
More Stories
Bitcoin slides to a two-week low amid $300 million in long liquidations
Bitcoin slips under $67,000 with U.S. 10-year Treasury yield nearing 4.5% peak
Macro uncertainty around Bitcoin intensifies as Ukraine complicates Trump’s oil market strategy