Bitcoin

Crypto markets have been mirroring equities' sensitivity to macro headwinds, and this statement adds geopolitical uncertainty to the mix. The prolonged Middle East conflict threatens global growth, supply chains, and energy costs—factors that historically correlate with reduced liquidity and risk appetite for speculative assets like crypto.

OECD Secretary General Mathias Cormann stated that risks to the global economy have worsened due to the prolonged conflict in the Middle East.

OECD Warns Middle East Conflict Worsens Global Economic Risks, Crypto Sentiment Sours

OECD's Middle East Warning Flags Potential Disruption to Iranian Bitcoin Mining – A Hidden Hashrate Risk

The Iran war exacerbates supply-side inflation (energy and shipping) while slowing global growth—a classic stagflation scenario that historically crushes speculative assets. Central banks face a dilemma: rate cuts to support growth would fuel inflation, while rate hikes deepen recession fears, both negative for crypto liquidity and sentiment.

OECD Secretary General Mathias Cormann stated that the Iran war is putting downward pressure on global growth and upward pressure on inflation.