Key facts
- Bitcoin held near $63,800 despite a broad market selloff.
- U.S. forces conducted a fourth round of strikes on Iran.
- Oil prices surged, while gold, equities, and bonds declined.
- Bitcoin's reaction diverged from past geopolitical events.
- SK Hynix shares experienced a significant reversal in Seoul.
- Digital assets recorded their third consecutive quarterly loss in Q2 2026.
Bitcoin and other major cryptocurrencies maintained a narrow trading range on Monday, largely unaffected by a significant selloff across traditional markets including gold, oil, equities, and government bonds. This muted reaction followed a fourth round of U.S. strikes on Iran within a week.
Oil prices jumped 4% to over $79 a barrel, fueled by conflicting reports regarding the Strait of Hormuz, through which approximately one-fifth of the world's seaborne oil normally passes. Treasury yields climbed, with the two-year yield reaching its highest level since February 2025, as markets priced in fears of a prolonged conflict potentially keeping crude prices elevated and prompting the Federal Reserve to maintain higher interest rates for an extended period. The MSCI's Asia Pacific equities index also fell 1.6%.
Spot gold experienced a decline of as much as 1.6%, trading near $4,050 an ounce, as higher real yields diminish the appeal of non-yielding assets. The U.S. Central Command confirmed strikes on Iran in retaliation for an attack on a container ship, while denying Iran's claims that the Strait of Hormuz would be closed.
In contrast to traditional assets, Bitcoin remained stable, trading near $63,800, down 0.3% over the preceding 24 hours but up 2% for the week. Ether saw little change at approximately $1,800, also up 2% weekly, while other major cryptocurrencies experienced minor movements. Solana was the weakest among the majors, down 5% over seven days.
A notable crypto-adjacent development involved SK Hynix shares, which plunged 12% in Seoul following a 13% surge in their U.S.-listed debut on Friday. This reversal in the chipmaker's stock impacted the Kospi index, which fell 7%. The chip trade had previously driven a rally that lifted Bitcoin on Friday, but its sharp reversal on Monday left cryptocurrencies flat.
Bitcoin's resilience through a weekend of strikes, a Monday market selloff, and hawkish repricing of the Federal Reserve marks a departure from its historical behavior. The cryptocurrency appears to be taking its direction from dollar liquidity and the semiconductor cycle, rather than reacting directly to geopolitical headlines.