Bitcoin jumped back above $70,000 for the first time since March 25, driven by investors’ hopes for a ceasefire in Iran’s war. The cryptocurrency rose over 3.5% and stood just under $70,000 as of morning trading in London. Other digital assets like Ether also surged.
Tensions between the US and Iran escalated when President Trump threatened to attack civilian infrastructure if Iran didn’t reopen the Strait of Hormuz. However, this did not deter investors from buying up cryptocurrencies. Instead, it led to a surge in short-selling, with many bettors taking on more risk.
Despite the volatility, Bitcoin has remained relatively stable compared to other assets like oil and gold. The cryptocurrency’s price has been stuck between $65,000 and $75,000 for weeks, but recent gains have pushed it above the $70,000 mark.
Investors’ confidence in Bitcoin is driven by steady demand from spot investors and firm inflows into US-listed spot Bitcoin exchange-traded funds (ETFs). The rise of Bitcoin appears to be led by incremental allocation rather than leverage.
Source: https://finance.yahoo.com/markets/crypto/articles/bitcoin-ticks-even-trump-iran-025044624.html