President Trump made a strong statement today — in fact, it felt a lot more like a threat to Iran’s Supreme Leader Ali Khamenei than a statement toward the American public.
“We know exactly where the so-called ‘Supreme Leader’ is hiding,” Trump wrote on Truth.Social. “He is an easy target, but is safe there – We are not going to take him out (kill!), at least not for now,”.
In a follow-up post, the U.S. President wrote in all caps: “UNCONDITIONAL SURRENDER!”
Understandably, the rest of the world took these statements seriously, as they imply that the U.S. will enter the Israel–Iran conflict. The ramifications of that clash would certainly be devastating, as it would be the most impactful military clash by the U.S. since the war with Iraq.
This caused the American stock market to plunge today. With major indices falling across the board as investors braced for potential escalation.
- The Dow Jones Industrial Average dropped 299 points (-0.70%), closing at 42,215.80.
- The S&P 500 fell 0.84%, settling at 5,982.72.
- The Nasdaq Composite declined 0.91%, finishing at 19,521.09.
According to recent reports, the U.S. is closing its embassy in Israel until Friday, meaning that American diplomatic operations in the region will be temporarily suspended due to security concerns.
In theory, the President would not be able to enter a military conflict of this magnitude through executive order. To do so, Congress would have to approve military action through a formal War Powers Resolution or declaration of war. However, presidents have historically found ways to bypass direct congressional approval, citing national security concerns or immediate threats to the American people.
But What About Crypto?
The shockwaves weren’t limited to traditional markets; crypto felt it too. The cryptocurrency market erased $135 billion and has lost over 4% of its market capitalization since yesterday.
Similarly, Bitcoin went as low as $103,344 during the day, currently trading at $104,655 at a 2.30% decrease. Interestingly, while selling pressure increased in recent times, holders are refusing to let go of $104K, causing that spot to be a major zone of interest for traders.
With that said, Bitcoin is far from the most affected cryptocurrency. In fact, Altcoins are in general performing worse than $BTC, signaling that investors may be rushing towards a haven.
While the total crypto market capitalization (TOTAL) is down by around 3.8%, the total market cap excluding Bitcoin (TOTAL2) has seen a sharper 4.40% decrease.
As global tensions flare and markets tilt, all eyes are now on how Bitcoin will behave in the days ahead. The $104K level could prove pivotal, but history might offer even better clues.
Ready to trade? Join WEEX via Bitcoinsensus and get a 20% deposit bonus — with up to 400 USDT waiting for you. Claim your share of the 30,000 USDT reward pool.
