Bitcoin (CRYPTO: BTC) is trading in a tight range between $69,000 and $71,000 as shifting comments from President Donald Trump on the war with Iran fuel market volatility.

Bitcoin Holds Steady Amid Chaos

Analyst Scott Melker, known as "The Wolf of All Streets," on Monday said markets are reacting in real time to conflicting geopolitical headlines.

He noted that trillions of dollars have been rapidly added and erased across equities, reflecting deep uncertainty. Despite this, Bitcoin has remained relatively stable within its range.

Melker also pointed to a breakdown in traditional market behaviour. Gold, typically a safe-haven asset, has seen a sharp decline, while Bitcoin has held firm, raising questions about potential capital rotation into crypto.

He said Bitcoin's resilience may stem from its portability and reduced selling pressure during crises, while gold's drop appears driven by forced selling and liquidity needs rather than a loss of long-term value.

Markets In Transition

Melker said markets are in a "chaotic transition phase," marked by rapid capital rotation and rising volatility across asset classes.

While Bitcoin is emerging as a potential alternative, he cautioned that uncertainty remains high, with direction dependent on geopolitics, central bank policy and liquidity conditions.

On the macro-outlook, views remain divided. Some expect a prolonged deflationary phase with falling asset prices, while others argue policymakers will inject liquidity to stabilize markets, potentially driving inflation and a recovery in risk assets.

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