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Bitcoin (BTC) has recovered to the $61,000 level, buoyed by progress in peace talks between the US and Iran, a weak outlook for international oil prices, and an inflow of funds into spot ETFs.
According to cryptocurrency media outlet Coingape on July 3 (local time), Bitcoin's price rose 2.46% to $61,644 on that day. Cathie Wood, CEO of ARK Invest, assessed that the bullish argument for international oil prices weakened after progress in peace talks between the US and Iran. After US President Donald Trump mentioned progress in the talks between the two countries, risk asset preference revived, and the total cryptocurrency market capitalization also increased by 2.63% to $2.13 trillion.
Wood recently stated in ‘In The Know’ that the reopening of the Strait of Hormuz could increase crude oil supply and lower oil prices. She said, “I believe that the more Hormuz opens, the more sharply oil prices could fall.” Coingape reported that 20% of the global crude oil supply that could not pass through the Strait of Hormuz could re-enter the market.
The weak outlook for international oil prices acted as a catalyst for Bitcoin's rebound. Crude oil traded at $68 that day, reaching its lowest level since February 2026. Negotiating teams from the US, Qatar, and Pakistan concluded talks on July 2, with a second round of negotiations scheduled for July 18. As geopolitical tensions eased, investors turned their attention back to risk assets, including cryptocurrencies.
Bitcoin's price rose from $57,800 on July 1 to $61,700 on July 3. On the 4-hour chart, a double bottom pattern formed at the $57,800 support level on June 25 and July 1. Subsequently, Bitcoin broke above the $60,900 neckline resistance and closed above this level for five consecutive times. If buying pressure is maintained, the next resistance level is projected at $63,944.
Technical indicators also support a short-term rebound. The Relative Strength Index (RSI) recorded 61, supporting a bullish trend. The green bars of the AO indicator also lengthened, signaling increased buying dominance. Coingape analyzed that Bitcoin could rise to $67,000 if buying pressure maintains its lead. However, if three consecutive closing prices occur below the $60,900 support level, the bullish outlook will be invalidated.
Institutional demand also supported the bottoming out theory. Analyst Ali Charts stated on X (formerly Twitter) that the TD Sequential indicator on Bitcoin's monthly chart showed a buy signal. This signal also appeared in Ethereum (ETH), XRP, and Solana (SOL). According to SoSoValue data, Bitcoin spot ETFs saw a net inflow of $221 million on July 2. This is the largest inflow since the $467 million net inflow on May 5.
[Article Summary]
-Bitcoin recorded $61,644 on July 3, up 2.46%, and the total cryptocurrency market capitalization was tallied at $2.13 trillion, an increase of 2.63%.
-Cathie Wood assessed that the reopening of the Strait of Hormuz increases crude oil supply, weakening the bullish argument for oil prices.
-Bitcoin spot ETFs saw a net inflow of $221 million on July 2, the largest since May 5.
*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*
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