Bitcoin rose to its highest level in three weeks this week, supported by optimism following a temporary ceasefire between the United States and Iran, though questions remain about how long the agreement will hold.
Global attention remained fixed on the escalating situation in the Middle East. The biggest development came when the United States and Iran agreed to a 14 day pause in hostilities, which quickly influenced financial markets, including cryptocurrencies.
Looking back to the weekend, tensions had intensified significantly. The United States and Israel carried out multiple strikes in Iran, while Donald Trump issued a 48 hour ultimatum that was later extended, demanding the reopening of the Strait of Hormuz or facing further military action.
During that period, Bitcoin traded within a narrow range between 66,000 and 67,000 dollars. Momentum picked up on Monday when reports surfaced about possible negotiations between the United States and Iran, pushing the price to around 70,000 dollars. Later in the day, the asset declined after claims emerged that the discussions had stalled.
As the deadline approached, Trump announced on social media that both sides had agreed to a temporary ceasefire lasting two weeks, along with the reopening of the Strait. Markets reacted immediately, with Bitcoin jumping to approximately 72,600 dollars while oil prices moved lower.
Despite the announcement, uncertainty remains. The Strait has not fully reopened, and Israel has continued its military actions in Lebanon. Trump also called on Benjamin Netanyahu to reduce the intensity of strikes. Even so, Bitcoin has benefited from the improved sentiment and is currently trading near 72,000 dollars.
At the time of writing, Bitcoin is priced at 72,200 dollars, reflecting a weekly gain of 7.4 percent. Ethereum stands at 2,220 dollars with a 6.8 percent increase, while XRP trades at 1.34 dollars, up 1.4 percent.
Key Crypto Developments This Week
Japan has approved new legislation recognizing cryptocurrencies as financial instruments, a move expected to strengthen investor protection and prevent insider trading based on undisclosed information.
Morgan Stanley launched its spot Bitcoin ETF, which recorded nearly 35 million dollars in trading volume on its first day.
Bitcoin also saw additional volatility after reports suggested that Iran may require payments in Bitcoin and other digital assets for ships passing through the Strait of Hormuz.
Hong Kong granted its first stablecoin licenses to HSBC and a consortium led by Standard Chartered, allowing the issuance of digital tokens tied to the local currency and enabling cross border transactions.
Large holders of Cardano increased their positions, with whale wallets reaching a four month high. However, the price of ADA has continued to lag and is down around 3 percent over the past month despite broader gains in the altcoin market.
Meanwhile, Michael Saylor resumed Bitcoin accumulation through his company, purchasing 4,871 BTC worth about 330 million dollars. This brings the firm’s total holdings to nearly 767,000 BTC.
Charts
This week’s market analysis includes detailed chart breakdowns for Ethereum, Ripple, Cardano, Binance Coin, and Hyperliquid.#crypto#cryptonews https://coinsignals.net https://t.me/coinsignalpublic
