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- Bitcoin jumped to levels above $72,000 after US President Donald Trump announced a two-week ceasefire with Iran.
- The price of US oil fell by 22% from $117 to $91 per barrel, as the ceasefire allows the reopening of the Strait of Hormuz.
- Analysts said the truce provides “fragile breathing space,” pointing to gaps in the ceasefire agreement and signaling major events to come.
Bitcoin rose along with broader financial markets on Tuesday, after President Trump announced a decision Conditional ceasefire for two weeks With Iran.
The leading cryptocurrency continued its gains on Tuesday, peaking at $72,379 on Wednesday morning. Bitcoin It is currently trading at around $71,610, up 3.5% in the past 24 hours, according to CoinGecko data.
The rally led to the liquidation of $425 million in short cryptocurrency positions, with the long liquidation adding another $170 million, per Queen Glass Data. Alternative currencies Included Zikash, Layer Zeroand Athens Recorded double-digit gains on news.
S&P 500 too Shoot More than 3.6% to $6,838, hovering below its all-time high of $7,043. Similar gains were observed in Japan’s Nikkei and South Korea’s Kospi. On the other hand, American oil. decreased More than 22% from more than $117 per barrel to $91.
US-Iranian ceasefire agreement
Trump stated that, based on conversations with the Pakistani leadership, he agreed to “suspend the bombing and attack on Iran for two weeks” on the condition that Iran agrees to the “full, immediate, and secure opening of the Strait of Hormuz,” according to TruthSocial. mail Wednesday. The ceasefire allows Iran and Oman to do so Charge fees on ships crossing the strait, with proceeds directed toward reconstruction.
The president’s critics described the deal as another example of this “Taco”– “Trump always chickens out” – after he returned home Threats Earlier in the week, he said that “an entire civilization will die tonight” unless Iran reopens the Strait of Hormuz.
The ceasefire opens the door to better global adoption of cryptocurrencies, in particular stablecoins– and a potential sharp market-wide rise, said Maxim Sakharov, co-founder and CEO of cross-chain banking infrastructure provider WeFi, Decryption.
“The pause provides some breathing room after weeks of escalation, but doubts remain high about whether it will last beyond two weeks,” said Andriy Fozan Adzima, research lead at cryptocurrency exchange Bitrue. Decryption. He noted that while supporters view it as a practical negotiation that calms markets, critics say it “erodes US credibility and ability to deter, and turns extremist rhetoric into short-term cliffhangers.”
Adziema said the move reverses previous patterns in trade and foreign policy, providing immediate relief — “Tuesday is better than World War III” — but leaving fundamental issues unresolved — especially since the ceasefire does not include Lebanon, where Israeli air strikes have stopped. continued.
“Despite the tensions and movements suggesting a potential hack, the prevailing idea these days is that nothing at all is happening,” said Justin Dannithan, head of research at cryptocurrency research firm Arctic Digital. Decryption.
European Training Foundation Inflows He said it continues to provide hope, but “remains held in check by broader risk-off sentiment.”
“I think many will look at this level not necessarily as the bottom of the cycle, but as a place that long-term investors will be happy to be,” Dannithan added. “Right now, all eyes are on the Strait of Hormuz.”
Sentiment in the prediction market has flipped Countlessowned by Decryption Parent company Dastan. Users now assign a 55% chance Bitcoin rose to $84,000 after that, up from 43% before the ceasefire, setting an end. 88% chance On average, the number of ships transiting the Strait of Hormuz will return to more than 15 before May, compared to 65% yesterday.
Incoming macro events loom
The optimism comes with a warning. Sakharov warned of the need to closely monitor upcoming macro events. “The US CPI is expected to rise, which could hamper any interest rate cuts or economic growth,” he said.
From a regulatory standpoint, progress was made Tuesday with the Federal Deposit Insurance Corporation Approval A proposal to implement the requirements and standards of the GENIUS Act.
Sakharov noted that since stablecoins now require 1:1 backing by hard money, “there will be no excuses for using stablecoins,” increasing trust and adoption.
Although the two-week pause is a relief, Bitcoin’s path forward remains uncertain, contingent on whether the ceasefire holds and how the macro data unfolds.
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