As gunfire erupts, the stock market plunges, and cryptocurrency prices begin to surge!!!

The sudden escalation of the Middle East situation hits the global financial markets like a heavy hammer. U.S. stocks and Asian markets are falling into panic, but Bitcoin is behaving as if it has a reverse script. Not only does it not fall along with risk assets, but it also breaks through the $70,000 mark with a strong bullish move.

This counter-trend rally amid risk aversion makes even skeptics have to admit that the digital gold’s safe-haven qualities are indeed growing stronger under the shadow of war!

Behind this rally is institutional buying frenzy. After nearly a month of silence, Bitcoin spot ETFs have attracted over $1 billion in just three days, as if large funds are rushing to secure their assets before the flames of war spread further.

Discussions on social media are exploding. People no longer see it as a high-risk stock counterpart but as a genuine hard currency to hedge against geopolitical turmoil. The rapid rebound of the Fear & Greed Index also indirectly confirms the anxious feeling of off-market funds rushing to catch the train.

However, the uncertainty in this game still depends on inflation and the Federal Reserve’s stance. If the US-Iran situation spirals out of control, a surge in crude oil prices will inevitably push up global inflation. At that point, it will be a question of whether the Fed continues to hike aggressively or is forced to shift to easing. If the latter happens, BTC is very likely to take advantage and climb another step!

Although traditional media like Bloomberg believe we are still in the $60,000 to $70,000 consolidation zone, with short-term shocks unlikely to be too dramatic, the resilience shown during this geopolitical crisis has already laid the groundwork for a future breakout.

From a trading perspective, the current market looks like a balancing act at a high level. The key support is within the $60k to $70k range. If you are a short-term trader, focus on key structural levels. As long as a dip can be quickly recovered, it signals a bullish counterattack. Conversely, if it breaks below and cannot bounce back, be prepared for a bearish attack.

Operationally, it’s recommended to focus on swing trading, with stop-losses firmly placed at the lower boundary of the range. Don’t try to fight the trend when the situation is unclear; preserving capital is always the top priority.

The outside world is in chaos, and everyone feels uneasy, so many are looking to buy Bitcoin as a hedge. Although experts say we are still in a consolidation phase between $60,000 and $70,000, and the price is bouncing back and forth, as long as it can stabilize, it sets the stage for a subsequent rally!