Crypto Market Soars as Bitcoin Breaks $100k on Israel-Iran Truce

Bitcoin and Ethereum Surge Amid Geopolitical Relief

The crypto market staged a stunning recovery as Bitcoin soared past the $100k mark, fueled by news of a potential ceasefire between Israel and Iran. This unexpected truce could finally put an end to the recent 12-day clash that had investors on edge.

In a surprising Monday announcement, U.S. President Donald Trump revealed that both nations had agreed to a full ceasefire, dubbing it the end of "The 12 Day War." This news was a breath of fresh air for investors, calming nerves and sparking a much-needed rally after a wild weekend.

The global crypto market cap skyrocketed by 2.8% to hit a whopping $3.39 trillion on Tuesday afternoon in Asia. Bitcoin (BTC) charged ahead by 3.4%, smashing through the $105k barrier, while Ethereum (ETH) blasted up 6.7% to reclaim the $2,400 level. The rally didn't stop there, as major altcoins like XRP (XRP), Solana (SOL), and Dogecoin (DOGE) surged by 8.5%, 8.2%, and 7%, respectively.

This rebound comes hot on the heels of a brutal weekend sell-off, triggered by escalating tensions after Israel ramped up its airstrikes and the U.S. reportedly launched attacks on three Iranian nuclear facilities. The crypto market took a hit, with BTC plummeting nearly 4% to $98,615, while ETH and SOL saw double-digit declines of up to 10% as investors fretted over the possibility of a prolonged conflict and its economic ripple effects.

But with geopolitical risks fading fast, market sentiment has done a 180. Alternative's Crypto Fear & Greed Index skyrocketed 47 points to hit 65, firmly back in "Greed" territory. Meanwhile, Coinglass data shows the average RSI across the market climbing to a neutral 58.

Open interest jumped by 4% to a staggering $135 billion, while total liquidations plunged 28% to $482 million, according to Coinglass data. The twist? Most of those liquidations came from shorts, hinting at a possible short squeeze that could have supercharged the rally even more.

The market's comeback was further bolstered by a surge in institutional interest. U.S. spot Bitcoin ETFs raked in a massive $350.4 million in inflows on Monday, a sharp rise from just $6.37 million on Friday. Ethereum ETFs weren't far behind, pulling in $100.7 million in inflows and reversing the previous day's $11.3 million in outflows.

Adding fuel to the bullish fire, Strategy's Michael Saylor dropped a bombshell, revealing that the company had snapped up another $26 million worth of Bitcoin. Strategy's latest move is part of a broader 2025 trend, with more public companies following suit and embracing Bitcoin as a long-term treasury asset.

Take Japan's Metaplanet, for example, which just executed a mind-blowing $108 million purchase. And don't forget about entrepreneur and investor Anthony Pompliano, who announced the launch of a Bitcoin treasury firm backed by heavy hitters like Citadel and Jane Street, with the ambitious goal of building a $1 billion Bitcoin reserve.

On the regulatory front, the Federal Reserve made a game-changing move on June 23, removing the term "reputational risk" from its bank supervision guidelines. This decision eliminates a vague barrier that had been holding banks back from engaging with crypto firms.

Industry insiders are buzzing, believing this move could pave the way for digital asset companies to gain easier access to banking services and accelerate the integration of crypto into the financial system.