Asia Market Update: Impact of Israel’s Actions on Crypto Prices
What to know:
- Major cryptocurrencies fell as Israel conducted airstrikes on Iranian nuclear facilities, impacting BTC and ETH prices.
- Ethereum’s recent performance suggests a shift in investor interest towards altcoins and emerging sectors like DeFi and decentralized AI.
- Singapore’s MAS requires digital token service providers to be licensed, affecting exchanges like Bitget and Bybit.
Good Morning, Asia. Here’s what’s making news in the markets:
Welcome to Asia Morning Briefing, a daily summary of top stories during U.S. hours and an overview of market moves and analysis.
As Asia begins its trading day, all major cryptocurrencies are down due to market uncertainty as a result of an Israeli attack on Iran.
Early Friday Hong Kong time, Israel’s military conducted multiple airstrikes against Iranian nuclear facilities, sending the price of BTC and ETH plunging.
Despite this recent volatility, ETH is still up nearly 40% over the last three months, according to CoinMarketCap, beating the CoinDesk 20 index and bitcoin.
One theme that market observers are tracking is investors’ appetite for risk, particularly in altcoins. Charmaine Tam, Head of OTC at Hex Trust, emphasized that ETH’s recent outperformance against BTC is a key indicator of capital flows into altcoins.
MAS’s Offshore Exchange Ban Was a Long Time Coming
Last week, the Monetary Authority of Singapore (MAS) put the final nail in the coffin for firms using the city-state as a paper base while functioning entirely overseas. In a recent update, MAS confirmed that digital token service providers (DTSPs) serving only foreign clients will need to be licensed starting June 30.
This requirement leaves virtually no room for regulatory arbitrage. If companies want to use Singapore’s respected name, they must comply fully with its regulatory oversight. This closure marks a significant step in a broader global shift towards tighter crypto oversight.
Quranium Debuts Quantum-Safe Wallet
Quranium has launched QSafe Wallet, a crypto wallet designed to withstand the looming threat of quantum computing.
QSafe uses post-quantum encryption to future-proof digital asset storage ahead of potential cyber threats.
Market Movements:
- BTC: Bitcoin is down 4.7% and trading at $103.3K due to geopolitical tensions.
- ETH: ETH remains under pressure, trading around $2,694.
- Gold: Gold surged over 3% to $3,426.95.
- Nikkei 225: Asia-Pacific markets fell on Israeli military actions.
