Cryptocurrencies continue their upward momentum, opening the new day firmly in positive territory. Bitcoin (BTC) is testing the $74,000 mark, while Ethereum (ETH) has surpassed $2,330. Sustained conflict and rising tensions in Iran have done little to shake Bitcoin’s ability to maintain daily closes above $70,000—a level that is helping to buoy investor confidence as March unfolds.
Crypto and Equities React to Global Events
Following a series of significant attacks targeting key energy infrastructure in the Middle East, oil prices remain volatile. In the United States, gasoline prices exceeded $5 per gallon for the first time since 2022. Energy inflation—previously leveraged by former President Trump to stabilize prices—has now become a challenge. The elevated costs are likely to complicate efforts to control inflation and may postpone the interest rate cuts Trump has long advocated, potentially pushing them back until 2027.
Market Sentiment and Major Tech Moves
Optimism from the previous trading session faded, causing S&P 500 futures to slip 0.2%. Tensions rose further when Iran launched attacks on energy facilities in the Persian Gulf, sending Brent crude oil surging back to $103 per barrel. Financial circles are no longer brushing aside hostilities in Iran. A recent survey by Bank of America reflects a growing sense of caution among fund managers, who are now holding onto more cash as the conflict continues. Should the situation drag on, widespread risk-off selling could accelerate.
Nvidia managed to gain 0.3% in a turbulent market. The company recently revealed its ambitious goal to generate at least $1 trillion in revenue from its flagship AI chips by 2027. Expectations of record-breaking AI-related earnings have provided some relief not only for the tech sector but also for cryptocurrency and other riskier asset classes. Monday’s rally in U.S. markets set the tone globally, lifting most European and Asian indices. The Stoxx 600 in Europe, in particular, is on track for consecutive gains since the outbreak of current hostilities.
March 17 Outlook
While this week promises intense macroeconomic developments, today is expected to be much quieter in terms of data releases. No significant reports are scheduled, leaving investors awaiting tomorrow’s key Federal Reserve interest rate decision and a slew of follow-up announcements.
As of publication, Israeli Defense Forces (IDF) have launched a large-scale assault on Iran. In retaliation, it is anticipated that Iran will target strategic sites within hours. Adding to the diplomatic fallout, Iran’s Foreign Minister denied claims of ongoing communications with the US, stating that the last known contact with American envoy Witkoff occurred before the recent strikes.
Amid these fast-moving events, Iran released several updates about Mojtaba Khamenei, its new Supreme Leader, over the past few hours:
“During a foreign policy meeting, Iran’s new Supreme Leader rejected any proposals to reduce tensions with the United States or pursue peace. The Supreme Leader dismissed recommendations sent via two intermediary countries to the Foreign Ministry. In the same session, he stated, ‘This is not the right time for peace.’ He emphasized that both the US and Israel must face defeat and pay reparations.”
