Cryptocurrency markets moved higher on Monday after U.S. President Donald Trump indicated that planned strikes on Iran’s power infrastructure would be delayed by five days, temporarily easing fears of further escalation in the conflict.

In a post on Truth Social, Trump stated that both sides had engaged in "very good and productive conversations regarding a complete and total resolution of our hostilities in the Middle East." However, uncertainty quickly returned after Iran’s Fars news agency disputed the claim, reporting that no such discussions had taken place. The conflicting narratives created renewed volatility across markets.

While the temporary pause reduced immediate tension, the broader conflict remains unresolved. Iran continues to carry out strikes across the Gulf, and any lasting de-escalation would also require Israel’s involvement. Market gains began to fade later in the day after the Iranian response, according to Al Jazeera.

Bitcoin and risk assets react sharply

Bitcoin (BTC), which had dropped below $68,000 overnight, rebounded above $71,000 during early U.S. trading hours before retreating closer to $70,000 following the conflicting reports. Other major cryptocurrencies, including Ether (ETH), Dogecoin (DOGE), Solana (SOL) and Chainlink (LINK), also recorded gains of up to 5% over a 24-hour period before partially reversing.

Traditional markets reflected a similar pattern. Gold recovered most of its earlier losses and was down only about 1% on the day, trading near $4,440 per ounce. The U.S. dollar index (DXY) declined to 99.3. Global bond yields also moved lower, with the U.S. 10-year yield dropping by 100 basis points to approximately 4.3%.

Oil markets experienced a sharp reversal. WTI crude fell by 11% to below $88 per barrel, while Brent crude declined by around 8% to near $100. Tokenized Brent crude futures saw significant liquidations, with CoinGlass data showing $62.41 million in liquidations on the XYZ:BRENTOIL contract over the past 24 hours. Of that, $61.69 million came from long positions, while short liquidations accounted for just $717,000.

Equities linked to the crypto sector also moved higher. Galaxy Digital (GLXY) rose 2% in pre-market trading, while Coinbase (COIN) and IREN (IREN) each gained around 2%. Strategy (MSTR), the largest corporate holder of Bitcoin, advanced by more than 3%.

Options markets signal continued caution

Despite the initial risk-on reaction and the decline in oil prices, derivatives markets suggest that traders remain cautious about the outlook. Data from Amberdata shows that Bitcoin options on Deribit continue to price in a defensive stance. Put options are trading at an 8–10 volatility point premium over calls through the end of June expiry, a pattern that remained largely unchanged throughout the day. A similar structure is visible in Ether options markets.

This positioning indicates that traders are not fully convinced by the recent rebound and are preparing for potential further volatility, particularly in light of recent energy market disruptions and their possible impact on the broader global economy.

Sources:

https://www.aljazeera.com/news/liveblog/2026/3/23/iran-war-live-tehran-vows-to-completely-close-hormuz-if-power-plants-hit?update=4427452

https://www.coindesk.com/markets/2026/03/23/bitcoin-surges-above-usd71-000-as-trump-postpones-iran-strikes-for-five-days

https://truthsocial.com/@realDonaldTrump/posts/116278159912794855