Volatile session for gold and Bitcoin, which are generally trending downward today, discounting the effect of tensions in the Middle East and the wait for the ultimatum launched by President Trump in Tehran to expire. The deadline falls today, April 7th and is making the financial markets nervous. For different reasons, gold and cryptocurrencies are incorporating these tensions and behaving in much the same way, with widespread price declines.
Gold falls on inflation concerns
The premium linked to the nature of a safe haven asset that is usually incorporated into gold is offset by concerns linked to the flare-up in oil prices and the repercussions on inflation, which will inevitably have an impact on the policies of central banks, triggering an unwanted upward trend in rates, in a phase also characterized by low growth (stagflation).
The alternation of these factors is weighing on gold today, which appears to be a bit volatile and with a downward trend, while since the beginning of the conflict, the upward movement to new historical highs above 5 thousand dollars has been blocked, trapping the value of the precious metal in a narrow range between 4-600 and 4,700 dollars. Today, the spot gold price fell 0.2% to $4,640 an ounce, while gold futures for June delivery traded 0.6% lower at $4,641 an ounce.
The situation in the Middle East: waiting for the truce to expire
The decline comes despite intensifying geopolitical risks, with Trump warning that Iran could be “eliminated” if it does not reopen the Strait of Hormuz by today’s deadline, April 7, 2026. For its part, Tehran has rejected a US ceasefire proposal for a 45-day ceasefire and diplomatic efforts to resolve the conflict have shown little progress.
The standoff has already disrupted global energy flows and pushed oil prices higher, fueling inflation fears and complicating the outlook for monetary policy, as central banks could find themselves forced to raise rates in a phase already characterized by recession. That’s why the market is awaiting key U.S. inflation data this week, due on Friday, which should provide guidance on the Fed’s interest rate trajectory.
Bitcoin loses its nature as an alternative asset
Bitcoin is also trending downwards, losing its appeal as an alternative asset and following the stock markets downwards due to risk aversion. The cryptocurrency market is also characterized by a certain volatility in view of the deadline set by Trump.
Bitcoin today therefore loses 0.42% to 68,943 dollars, also suffering from some profit taking after yesterday’s good session, and brings its performance to a week of +2.5%. Other cryptocurrencies also recorded declines. Ether, the second cryptocurrency by market capitalization, loses 1.7%, while Solana appears more sacrificed with a drop of 2.2%.
According to some analysts, sentiment on Bitcoin “remains bearish in the short-medium term” while clearer developments are awaited from the situation in the Middle East which remains “fluid”. The risks of an escalation in the war also keep investors away from this market, which therefore does not confirm its nature as an alternative asset correlated to the stock markets.
