Crypto Market Rebounds as Hopes Rise for Israel-Iran Ceasefire Announced by Trump
The cryptocurrency market rallied on Tuesday, June 24, after former U.S. President Donald Trump announced a potential ceasefire between Israel and Iran, easing investor fears following nearly two weeks of escalating conflict.
According to a Reuters report published on June 24, Trump claimed that both nations had agreed to end hostilities after a 12-day confrontation. However, the truce remains unconfirmed by Israeli officials, and reports indicated missile activity from Iran early Tuesday, casting uncertainty over the situation.
Despite the ambiguity, the crypto market responded with optimism. Global cryptocurrency market capitalization surged 2.4% to $3.35 trillion. Bitcoin rose 3.7% to $105,000, while Ethereum jumped 7% to $2,396. Solana and XRP also posted strong gains of 7% and 6%, respectively.
Investor sentiment showed a marked improvement. The Crypto Fear & Greed Index from Alternative climbed 18 points to 65, signaling a shift back into “Greed” territory. Data from Coinglass also reflected a more stable market: the average Relative Strength Index (RSI) rose to 58—indicating neutral momentum—while open interest increased 4% to $135 billion. Total liquidations fell 24% to $481 million, suggesting reduced volatility.
This upbeat shift came just days after markets nosedived following U.S. airstrikes on Iranian nuclear facilities, which had sparked fears of broader conflict and economic fallout. On that day, Bitcoin fell nearly 4% to $98,615, while Ethereum and Solana dropped as much as 10%. The attack triggered nearly $1 billion in crypto long-liquidations and wiped out $40 billion in overall market cap.
Now, traders appear cautiously optimistic. Trump said the ceasefire deal was reached in coordination with Israeli Prime Minister Benjamin Netanyahu and facilitated through diplomatic efforts involving Qatar and the U.S. While Iran hinted at a willingness to pause strikes if Israel halted further military actions, it stopped short of confirming a formal truce.
Traditional markets also welcomed the news. S&P 500 futures rose 0.4% in after-hours trading, while oil prices dipped amid easing fears of disruptions to shipping lanes in the Gulf.
For now, crypto markets appear to be pricing in a de-escalation, but geopolitical uncertainty remains high. The current rally may hinge on whether a lasting ceasefire materializes in the coming days.
