Ether is outperforming bitcoin, suggesting early signs of a possible move into altcoins, as easing geopolitical tensions between the U.S. and Iran push oil prices lower.
Markets shifted back into risk-on mode after both nations avoided further military escalation on Sunday, sending crude prices downward.
Bitcoin, the largest cryptocurrency by market value, has reclaimed the $65,000 level, gaining roughly 1.2% over the past 24 hours. Ether climbed more than 3% to nearly $1,950, while other leading tokens like Solana and XRP posted modest gains of 1% to 2%.
WTI crude futures dropped about 5% on Monday to around $85, while futures tied to the Nasdaq and S&P 500 rose დაახლოებით 0.5%. Currency markets echoed the positive sentiment, with the Australian dollar and euro strengthening against the U.S. dollar.
The U.S. and Iran paused hostilities for a second consecutive day, raising hopes for renewed diplomatic engagement. The conflict, which began in late February, had briefly entered a fragile ceasefire earlier in the year before breaking down.
Iran has reportedly indicated it will continue suspending airstrikes as long as the U.S. reciprocates, marking a cautious step toward another potential peace process.
“Markets are responding to broader macroeconomic signals,” said Vikram Subburaj, CEO of India-based crypto exchange Giottus.
He pointed out that Brent crude’s 4.7% drop to $92.19 has helped ease inflation concerns, though attention remains on the Federal Reserve’s July 28–29 meeting. Markets are currently pricing in a 36.3% chance of a 25-basis-point rate hike.
Subburaj added that ether’s stronger performance reflects some rotation into alternative cryptocurrencies, though bitcoin’s dominance — still at 58.6% — suggests the trend is not yet widespread.
Meanwhile, some analysts are focusing on bitcoin’s historical four-year cycle, arguing the market could be nearing a bottom ahead of the next major rally.
Joao Wedson, founder and CEO of analytics firm Alphractal, noted that previous cycles have shown roughly 900 days between each Bitcoin halving and the subsequent bear market low. With the current cycle at around day 827, he believes bitcoin may already be forming a base, with a potential final bottom emerging within the next couple of months.
