Hormuz Who? Bitcoin Pops $65K as Oil Takes a Peace Pill 🕊️

Bitcoin climbed to its highest level in nearly two weeks on Monday after the United States and Iran reached a deal to end hostilities and reopen the Strait of Hormuz, easing the energy-supply fears that had weighed on risk assets for months. The largest cryptocurrency traded around $65,844, up 2.1% over 24 hours, and touched a session low near $63,722 in early Asian trading before the deal news broke, according to CoinDesk data. The move puts bitcoin roughly 9% above the sub-$60,000 low it hit last week, its weakest level since October 2024. Separately, CoinGecko data cited $BTC at $65,860, up 2.2% over 24 hours and 4% over the past week, while a third source reported a 3.5% intraday gain to $66,570.40.

The rally was broad across major tokens. Ether rose 2.5% to $1,721, solana gained 3.6% to $71, XRP added 3.2% to $1.19, and Hyperliquid's HYPE jumped 7.5% to nearly $65, with BNB and dogecoin each up more than 1%. Brent crude slumped more than 4% toward $83 a barrel as traders unwound the geopolitical premium that had kept oil elevated since late February, and Asian equities rallied, with Japan's Nikkei 225 heading for a record close and S&P 500 futures up 1.2%. The U.S. dollar fell against major peers as the DXY moved back toward 100.

Pakistani Prime Minister Shehbaz Sharif announced the agreement first, followed by President Donald Trump and Iranian state media. Trump said the Strait of Hormuz will reopen on Friday upon signing, writing on Truth Social that "ships are starting to move, many loaded up with Oil, out of the Strait of Hormuz" along the Southern "Highway," which he called "totally safe, secure, and pristine," adding that "There are other areas of travel, also!" Trump said the agreement would be signed in Switzerland on June 19. Neither side has released the full text, though the broad contours had been circulating for days, and CNN has counted at least 38 prior instances in which Trump asserted a peace deal was imminent.

Analysts said the rebound may be limited by unresolved demand questions. Markus Levin, co-founder of XYO, told Decrypt that the relief rally "has already partially arrived," with the move from the low $60,000s to about $65,800 recovering most of the recent geopolitical risk premium, and warned that a peace deal alone does not restore "genuinely soft institutional demand." Georgii Verbitskii, derivatives trader and founder of TYMIO, told Decrypt that bitcoin's recent levels looked "significantly oversold from a sentiment perspective" and that most negative news appears priced in. Strategy's disclosure earlier this month that it sold 32 bitcoin to fund preferred share dividends sparked a selloff that exposed how much of crypto's bid had rested on the assumption that Michael Saylor would never sell.

Spot bitcoin ETFs have shed $2.1 billion in June so far, pacing May's $2.4 billion outflows, with Wednesday's $214 million exit extending a stretch that includes a 13-day losing streak draining roughly $4.4 billion from those products, according to SoSoValue data. Over $4.8 billion of U.S. capital has exited bitcoin ETF products since May 10, and total net assets have declined sharply. On prediction markets, Myriad users put a 67% chance on bitcoin's next major move knocking it down to $55,000, while Kalshi users expect bitcoin to close the year at $69,000, down 45% from its all-time high of $126,080 set in October 2025. The bitcoin network also recorded its 11th-largest downward difficulty adjustment on record.