The situation in the Middle East has undergone a shocking reversal, and the crypto market is experiencing a violent rebound.

Recently, the geopolitical situation in the Middle East has undergone dramatic changes, and the global financial markets experienced a roller coaster ride. After a series of tense situations, news of a ceasefire suddenly emerged, causing significant market fluctuations.

According to reports, both Israel and Iran have reached an agreement on a ceasefire. It is said that both sides will implement a 12-hour comprehensive ceasefire, after which the war will be considered over. During the ceasefire, both parties will maintain peace and respect. The sudden announcement of this news caught market participants off guard.

As a result, the crypto market reacted quickly. Data shows that after the announcement, the price of Bitcoin rebounded significantly, briefly surpassing $106,000, with a 24-hour increase of nearly 5%. Ethereum also reached $2,400, with an intraday increase of over 7%. Other mainstream cryptocurrencies generally saw increases of around 5%-8%, with Solana leading the way with an increase of about 10%.

Market analysis suggests that the previous sharp decline may have been an overpricing of geopolitical risks, while the latest ceasefire news has clearly released a signal of easing, prompting capital to quickly flow back into risk assets.

It is worth noting that during the drastic fluctuations in Bitcoin prices, there was a large-scale short squeeze in the crypto market. According to a data platform, the total liquidations of cryptocurrencies across the network reached 482 million USD in the past 24 hours, with short positions accounting for over 70%.

Meanwhile, data from the derivatives market shows that optimistic sentiment is warming up. Trading institutions point out that although the skewness of put options expiring in September remains high, short-term volatility is compressing, a typical signal indicating that traders are digesting broader spread risks. The institution added that U.S. stock index futures, crude oil, and gold initially reacted to the news but have now fallen back to last Friday's levels, suggesting that investors view the current situation as a regional conflict escalation rather than a full-blown global crisis.

Some encryption analysts indicate that Bitcoin is currently maintaining its strength and is repeating the classic cycle pattern of "breaking new highs → pulling back → main upward wave", with the next vertical movement possibly closer than expected.

A certain institution pointed out in its latest report that ETF capital inflows are "abnormally stable" and that spot ETFs have become a programmatic bottom support. The report designates the $94,000-$95,000 range as a key support level, while the $105,000-$110,000 range is viewed as recent resistance. Analysts expect that the price will remain within this channel and oscillate until weekly capital inflows break through $1.5 billion again or a new macro catalyst appears.

However, behind the optimism in the market, an undeniable fact is that policy statements remain the most unpredictable variable. From tariff policies to encryption currency regulation, the uncertainty of policies always exists. In such a large environment, investors need to maintain cautious optimism while hoping that the global situation can truly move towards peace and stability.