Former President Trump signed a US-Iran peace Memorandum of Understanding, a significant geopolitical event. However, Bitcoin's price recovery was halted by the Federal Reserve's hawkish stance, overshadowing the peace deal's potential positive sentiment. BTC is currently trading at $64,339, reflecting a 2.10% drop in the last 24 hours. This indicates that macroeconomic policy, particularly from the Fed, continues to be the dominant driver for crypto markets, even amidst major geopolitical developments. Investors should closely monitor Fed communications and interest rate expectations.
The Fed's hawkish posture continues to dictate Bitcoin's short-term price action, overriding geopolitical positives like the US-Iran peace MoU. This reinforces the primacy of macro liquidity conditions over event-driven sentiment for institutional crypto allocations.
This event highlights the market's current sensitivity to monetary policy, where macro liquidity trumps geopolitical news. Bitcoin's inability to rally on positive news signals a weak market structure, implying continued downside pressure.
Donald Trump signed the US-Iran peace Memorandum of Understanding (MoU), marking a historic geopolitical milestone, but Bitcoin failed to recover from the Federal Reserve’s hawkish shock. BTC is trading at $64,339 after a 2.10% drop over the past 24 hours. Here is what the MoU includes, what the Fed