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The cryptocurrency market, which had been weighed down by the shock of surging international oil prices that nearly touched $120 amid escalating tensions in the Middle East, staged a dramatic rebound rally after a single remark from U.S. President Donald Trump suggesting that “the war may end soon.”
As of 6:10 a.m. on the 10th (local time), according to CoinMarketCap, Bitcoin (BTC), the market leader, surged 3.11% over the past 24 hours to trade at $69,039, decisively breaking above the $69,000 level. Extreme fear, which had been widespread the previous day as prices threatened to fall to the $66,000 range, eased slightly from 18 to 22 in just one day.
Major altcoins also demonstrated strong resilience. Ethereum (ETH), the second-largest cryptocurrency by market capitalization, climbed 4.23% to $2,033, reclaiming the $2,000 mark. Solana (SOL) jumped 5.06% to $86.30, while Binance Coin (BNB) rose 3.58% to $639.53. XRP (Ripple) also rebounded 1.96% to settle at $1.37, pushing the total global cryptocurrency market capitalization up 2.34% to $2.36 trillion.
The sharp rebound in the crypto market mirrored the dynamic rollercoaster session on Wall Street overnight. U.S. stocks initially opened lower as soaring oil prices fueled intense risk-off sentiment, but turned higher after President Trump signaled that “the war is nearly over.” The Nasdaq Composite closed up 1.38%, while the Dow Jones Industrial Average gained 0.50%. Notably, West Texas Intermediate (WTI) crude, which had threatened to surpass $120 per barrel during the session, plunged to the $85 range immediately following Trump’s remarks, easing fears of inflation and economic slowdown.
As Trump’s market-friendly shift dispelled stagflation fears, pent-up investor appetite for long positions erupted, triggering a strong influx of capital into risk assets such as stocks and cryptocurrencies. Trump, who had taken a hardline stance just a day earlier by calling soaring oil prices “a small price to pay for peace,” effectively reversed course within 24 hours. This so-called “TACO” instinct ultimately gave wings to the crypto market.
Looking ahead, the direction of the digital asset market will likely hinge on whether the Middle East crisis moves toward early resolution as Trump suggested, or proves to be little more than temporary rhetoric. Experts believe that if the spike in oil prices does not persist and stabilizes, markets could quickly regain footing without significant damage to corporate earnings or severe pressure for additional interest rate hikes. However, with the CME FedWatch Tool still projecting a 59.5% probability that benchmark rates will remain unchanged through June, investors are advised to closely monitor macroeconomic indicators and developments in the Middle East while maintaining a cautious approach.
Disclaimer: This article is for investment reference only and the publisher is not responsible for any losses resulting from investment decisions based on this content. The information provided herein is for informational purposes only.