Bitcoin holding at US$70,000 as Iran war stokes inflation concerns
Bitcoin has fallen for three straight days after reaching a six-week high of nearly US$76,000 on Tuesday
Published Fri, Mar 20, 2026 · 03:27 PM
[NEW YORK] Bitcoin is holding just above US$70,000 as the Iran war stokes inflation concerns, overshadowing a regulatory win for cryptocurrencies in the US this week.
Bitcoin has fallen for three straight days after reaching a six-week high of nearly US$76,000 on Tuesday. The token was trading around US$70,500 at 2.30 pm in Singapore on Friday (Mar 20), little changed from a week ago.
It has been a mixed week for crypto. The industry got a regulatory win in the US when the Securities and Exchange Commission on Tuesday unveiled new details on how it will classify cryptocurrencies, with most mature tokens being spared the “security” label that would come with more regulatory burdens. But signs that the Iran war could stoke inflation and push central banks toward interest-rate hikes have been a negative for risk assets.
“The overnight sell-off was triggered by a raft of hawkish central bank meetings, which has firmly put rate hike expectations on the table in the months ahead,” IG Markets analyst Tony Sycamore wrote in note. “This comes on top of broad de-risking across portfolios as the conflict in the Middle East continues to rumble on.”
In a sign of institutional crypto appetites weakening, net flows for US-listed spot Bitcoin exchange-traded funds have turned negative. The funds saw another US$90.2 million in outflows on Thursday, adding to the US$163.5 million drained the previous day. That’s a reverse from the prior seven consecutive days of inflows.
Meanwhile, exchange operators Gemini Space Station and Crypto.com announced job cuts – both citing artificial intelligence.
Bitcoin has been weathering the conflict in the Middle East better than most assets. Other than a brief selloff just after the US and Israel initiated a bombing campaign against Iran on Feb 28, the token has remained relatively calm, even showing returns so far this month.
Bitcoin is up 7.7 per cent in March, while gold is down 10.8 per cent after a long run that saw bullion repeatedly hit record prices. Crude oil is up 48.2 per cent as disruptions to trade and oil-field bombings take a toll. Fears of inflation driven by the energy crisis have seen investors exit risk assets, making Bitcoin’s relative resilience stand out.
Still, its recent strength may have been supported by traders closing out negative positions in options markets, which forced buying of Bitcoin. There is still significant downside protection, with roughly US$1.6 billion in put options concentrated at the US$60,000 level, according to data on Deribit. BLOOMBERG
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