Bitcoin Tumbles Below $104K as Israel Strikes Iran

Bitcoin BTC$88,764.72 substantially added to earlier losses, slumping to as low as to $103,162 as Israeli forces bombed nuclear and military targets in Iran, including in the capital Tehran, before recovering somewhat to trade 2% lower than 24 hours ago.

Israeli Prime Minister Benjamin Netanyahu said the country attacked Iran's nuclear program and ballistic missile sites to "roll back the Iranian threat to Israel's very survival," and that the strikes will continue until the threat is removed.

The attack followed hours after the International Atomic Energy Agency said Iran was not complying with restrictions on enriched uranium for the first time in two decades. NBC reported that Israel was considering a strike following the IAEA's statement. U.S. President Donald Trump told reporters that the he would prefer a deal with Iran and an attack could lead to a "massive conflict."

On Polymarket, bettors were unsure about the chance of a strike taking place with the likelihood of Israeli action against Iran by July being priced in at under 30 cents.

The attacks were first reported by Axios with Al-Jazeera later confirming that explosions were heard in Tehran.

Traditional markets react

European stocks fell, with the Euro Stoxx 50 Index losing 1.4% and the FTSE 100 dropping 0.7%. U.S. stock index futures are lower by about 1.4% across the board on the news.

Moving higher are bond prices, gold and oil. The 10-year Treasury yield dipped 2 basis points to 4.32% while gold futures added 1% to $3,436 per ounce. Crude oil futures soared as much as 9% and were recently trading about 5.6% higher.

The U.S. dollar is gaining against the euro and British pound, but losing ground versus the yen and Swiss franc.

CORRECT (June 13, 08:05 UTC): Corrects Netanyahu's position to prime minister. An earlier version of the story said he is Israel's president. Adds Israel's confirmation of the attack, updates prices.