Two months into the US-Israel war with Iran, the odds of a permanent peace deal by April 30 have fallen to 1.1% YES on Polymarket, down from 3% just 24 hours ago.

The permanent peace deal market has collapsed across multiple contracts. The April 30 contract dropped from 10% a week ago to barely over 1% now. The June 30 contract sits at 8.5% YES, down from 14% yesterday. Traders are pushing their deal expectations further out as negotiations remain stalled.

Trading volumes tell the story. The April 30 contract sees $18,185 in daily face value, but only $427 in actual USDC changes hands. It takes just $111 to shift this market by 5 percentage points, a thin order book vulnerable to swings. The largest recent move was a modest 2-point spike, likely driven by a single trade. June’s deeper order book requires $1,689 for a similar shift, suggesting more stability despite the declining odds.

The conflict’s unresolved status and the Trump administration’s rejection of Iran’s demands make a near-term deal increasingly unlikely. For traders, the contrarian opportunity is in the long shot: buying YES at 1¢ offers a 99x return if a deal materializes before the deadline. That’s a bet with almost no downside in dollar terms and enormous upside, but the probability is priced where it is for a reason.

Watch for statements from President Trump or Iranian Foreign Affairs Minister Abbas Araghchi. Any shift in tone or unexpected diplomatic contact could move these markets fast.

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