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Bitcoin prices have jumped to a three-week high following the latest news of a temporary de-escalation in the Middle East.
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Bitcoin prices tapped $72,380 in early trading in Asia on Wednesday morning, its highest level since March 18, three weeks ago.
However, it has still not broken out of a two-month-long rangebound channel, so gains are likely to be short-term.
The move followed an announcement by US President Trump for a two-week ceasefire with Iran, subject to the reopening of the Strait of Hormuz. Iran accepted the proposal, and it has been approved by the country’s new Supreme Leader, Mojtaba Khamenei, according to reports.
Crypto, precious metals, and Asian stock markets pumped while oil prices have tanked, with WTI and Brent crude falling around 15% to $96 per barrel, easing inflationary pressures slightly.
Where Next For BTC?
“The possibility of a bull market depends on how oil and gas supply will recover in the coming months and its impact on inflation,” Jeff Mei, COO at the BTSE exchange, told CryptoPotato.
Santiment reported that its social sentiment data “signals that the crowd is optimistic that this news is the catalyst for this conflict reaching its conclusion.”
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Analyst ‘Sykodelic’ said that BTC has reclaimed a very short-term trend, closing above the 50-day exponential moving average. “This is a sign of strength and confirms that the price wants higher,” they said.
“The market’s reaction is very telling,” commented the Kobeissi Letter.
RealVision’s chief analyst Jamie Coutts said it was a bullish move after two months of consolidation near the lows, but said he was still cautious on the months ahead.
Bitcoin had retreated to $71,450 at the time of writing, but was still up 4.3% on the day.
Elsewhere on Crypto Markets
Ether prices also got a boost from the ceasefire news, gaining around 6% to reach $2,250 before a minor retreat. ETH remains rangebound, however, with heavy resistance at this level.
Some altcoins also gained, but not all. Larger increases were seen for XRP, Solana, Dogecoin, Cardano, Hyperliquid, and Chainlink, while Zcash surged 28%.
Meanwhile, Tron and Canton declined on the day. Total market capitalization was at $2.52 trillion on Wednesday morning, its highest level for three weeks.
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Source: https://cryptopotato.com/bitcoin-taps-72k-as-trump-agrees-to-two-week-ceasefire-with-iran/








