Bitcoin briefly touched $72,700 on Wednesday as traders cheered the US-Iran ceasefire deal, only to retreat below $71,000 in the next few hours as fresh violence in the Middle East dampened optimism.
The meeting was real – but it didn’t take long for it to be important.
Hormuz Still Closed, Oil Returns
Israel carried out its largest airstrike in Lebanon to date, hitting more than 100 Hezbollah positions across Beirut in less than ten minutes. Iran’s parliament spokesman announced that three ceasefire agreements had already been violated, sending WTI up 2.8% to $97.03 and Brent up 2.5% to $97.14 a barrel, reversing most of the previous session’s 16% fall.
The Strait of Hormuz, which usually sees 135 ships every day, he only recorded three runs on the third. More than 800 ships were stuck in the Gulf, waiting to be cleared for safe passage.
Ether fell 1.1% to $2,185, following Bitcoin’s return to a low risk. Gold edged lower at $4,713, while the dollar held steady, suggesting markets were cautious but not panicked.
Market analysts noted that the rally was driven more by algorithmic and strategic trends rather than real control. The return had no sustained power when it came back.
The Fed Adds Another Band of Pressure
Minutes from the US Fed’s March meetingwhich was released on Wednesday, highlighted the growing concern among policy makers about the continued rise in prices. Some officials have suggested that the Fed should keep rate hikes on the table if oil prices rise.
A prolonged Hormuz blockade could push energy prices higher, delaying any Fed pivot that crypto markets are counting on. Historically high rates weigh heavily on risk assets like Bitcoin, fueling uncertainty and a hawkish Fed signaling a strong bullish mix.
For Bitcoin, the outlook remains bleak – caught between expectations of an end to the war and the Fed not breathing.
A note Bitcoin’s Ceasefire Rally Dies Quickly As War Chaos Returns appeared for the first time BeInCrypto.
