Jakarta, Pintu News – Middle East oil production is expected to drop by 9 million barrels per day due to the escalating Iran conflict. Crude oil prices have risen above US$115 or around Rp1,954,655 per barrel at an exchange rate of Rp16,997. While Brent crude is above US$110 or around Rp1,869,670, sparking concerns about the global crypto and cryptocurrency markets.
The production decline was estimated at 9.1 million barrels per day in April. This figure increased from 7.5 million barrels in the previous month. Supply disruptions occurred due to conflicts in the Middle East region.
If supply continues to dwindle, global energy prices could spike. Inflation usually increases when oil prices rise. This has a direct impact on the crypto market.
Also Read: 5 Ways to Invest in Oil: Starting from Rp11,000, Can You Do It Through Crypto?
Analysts estimate that oil prices could reach US$150 to US$200. If converted, the range is around Rp2,549,550 to Rp3,399,400 per barrel. This increase occurs if the conflict escalates.
Spikes in energy prices typically trigger global market volatility. Tech stocks and major indices are already under pressure. Crypto often moves with risk sentiment.
As inflation rises, investors are looking for hedge assets. Bitcoin (BTC) is starting to be seen as an alternative to digital gold. This may increase the demand for cryptocurrencies.
But volatility can also increase in the short term. Global liquidity usually tightens when energy prices rise. This makes crypto movements sharper.
The Strait of Hormuz is the world’s main oil distribution route. Its closure significantly reduced global supply. This triggered a spike in energy prices.
The crypto market often reacts to geopolitical tensions. Bitcoin (BTC) and Ethereum (ETH) usually experience high volatility. Traders capitalize on the momentum.
Gold prices have risen about 7.5% since the beginning of the year. Rising oil usually strengthens the demand for safe havens. Crypto may follow the trend.
Global investors are starting to diversify. Gold and cryptocurrencies often move together in times of crisis. This opens up opportunities for great volatility.
Spikes in oil prices can trigger major changes in the crypto market. High inflation usually drives interest in Bitcoin (BTC). But short-term volatility remains high.
You need to monitor oil prices and geopolitical developments. Changes in energy supply have a direct impact on cryptocurrencies. The market is likely to remain sensitive in the near future.
Also Read: 3 Ethereum Signals: Could It Break Rp40 Million or Fall Again?
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*Disclaimer
This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Crypto trading activities are subject to high risk and volatility, always do your own research and use cold hard cash before investing. All activities of buying and selling Bitcoin and other crypto asset investments are the responsibility of the reader.