Markets endured a sharp sell-off Thursday as escalating tensions surrounding the Iran conflict pushed oil prices and global bond yields higher, weighing heavily on risk assets.
Bitcoin clawed back part of its earlier losses later in the day after U.S. President Donald Trump said he would extend the pause on strikes targeting Iran’s energy infrastructure. Writing on Truth Social, Trump announced the halt would be prolonged by 10 days, pointing to ongoing diplomatic negotiations.
“At the request of the Iranian government, I am extending the pause on energy facility strikes by 10 days,” Trump said, adding that discussions are continuing and showing progress.
The update helped stabilize sentiment following a volatile session that saw bitcoin fall about 3% and the Nasdaq drop 2.4%, leaving the tech-heavy index roughly 10% below its late-January peak.
While surging oil prices have dominated headlines since the escalation began, the simultaneous rise in Western bond yields is emerging as a growing concern for investors.
The U.S. 10-year Treasury yield, which was below 4% just weeks ago, climbed to as high as 4.43% before easing slightly to around 4.41%. The sharp increase has erased expectations for Federal Reserve rate cuts and has prompted speculation that policymakers could consider further tightening.
Similar moves are unfolding across European bond markets, where rising yields are also shifting expectations around central bank policy.
Following Trump’s comments, bitcoin rebounded roughly 1% from its session lows to trade just above $69,000. Major altcoins—including ether, XRP, Solana and Cardano—also recovered from their weakest levels, though they remained down between 3% and 5% over the past 24 hours.
