Bitcoin soared to $106,000, rebounding after a brief dip to $98,500. This increase is attributed to traders' growing expectations of interest rate cuts by the Federal Reserve in light of Middle East tensions, particularly following U.S. President Donald Trump’s announcement of a ceasefire between Israel and Iran. The market is now cautiously optimistic about Bitcoin potentially reaching $110,000. Despite an 8% drop in Bitcoin’s hashrate, speculations arose about mining stability, with some analysts suggesting that unauthorized operations in Iran could be consuming substantial energy resources. Furthermore, concerns about the long-term economic impacts of the ongoing conflict have led traders to adopt a more risk-averse attitude. In conjunction with falling oil prices and a steady derivatives market, the probability of the Fed lowering interest rates has increased, boosting investor confidence in Bitcoin. Nevertheless, caution remains regarding the geopolitical landscape and its effect on the global economy.

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