"Blockade of Strait of Hormuz Ends"...Bitcoin, Vertical Surge Offensive

▲ Donald Trump, Bitcoin (BTC)/AI generated image

Bitcoin (BTC) recorded a sharp rise, breaking through $77,000, driven by U.S. President Donald Trump's diplomatic achievements related to Iran.

According to crypto media outlet Cointelegraph on April 17 (local time), Bitcoin touched the $77,000 mark during the day. Trump's statement to reporters in front of the White House, saying, "Iran wants to talk. We'll see what happens," was a decisive catalyst. As geopolitical tensions in the Middle East eased, investor sentiment for risky assets recovered sharply. The market noted the disappearance of the risk of a blockade of the Strait of Hormuz.

The reaction in the energy market was even more pronounced. Brent crude prices plummeted from around $120 per barrel to $98, marking the largest single-day drop since the 2022 invasion of Ukraine. The sharp drop in oil prices is a factor that alleviates the Federal Reserve's inflation concerns. The market expects the Consumer Price Index, to be released on April 24, to fall. As expectations for interest rate cuts revived, Bitcoin's buying momentum further strengthened.

Technical analysts analyzed that securing $76,000 as a support level for Bitcoin is key to its future direction. According to Santiment data, this surge, accompanied by large-scale transactions, significantly improved the sentiment index. Daily open interest also surged, revitalizing the market. It is understood that a short squeeze occurred as Bitcoin broke through major resistance levels.

The controversy over Iran's collection of cryptocurrency tolls also appears to be settling. Bitcoin's status within the international financial system is becoming even more solidified. Investors are focusing on the volume of institutional funds that will flow in as geopolitical risks are resolved. Major assets such as XRP also rose, bringing a positive trend to the overall market. Expectations for XRP price recovery are also rising.

*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.*