Bitcoin is emerging from the controversy that was making headlines in Iranian newspapers.
The cryptocurrency surpassed $78,000 on Wednesday morning, up 2.2% over 24 hours and 4.3% over the week, after President Donald Trump said he would extend the ceasefire in Iran indefinitely and Strategy revealed the purchase of 34,164 BTC for $2.54 billion.
Ether rose 2.1% to $2,366, BNB climbed 1.3% to $640, and Solana gained 1.8% to $87. The only red in the top 10 was a 0.1% drop in stablecoins and Tron.
S&P 500 futures rose 0.5% and Nasdaq 100 futures gained 0.6% after Trump’s extension, although the underlying benchmarks closed lower on Tuesday as trading briefly wavered. Brent crude was hovering around $98 per barrel. The MSCI Asia-Pacific index slipped 0.7% as investors weighed the duration of the conflict in the Middle East.
Trump blamed the failure of the negotiations on what he called a “seriously fractured” leadership structure in Tehran, and said the United States would delay further attacks while maintaining its blockade of the Strait of Hormuz.
Strategy’s purchase is the company’s largest Bitcoin purchase since November 2024. The acquisition of 34,164 BTC at an average price of $74,395 per coin brings the company’s holdings to 815,061 BTC, purchased for $61.6 billion at an average cost of $75,527. With bitcoin at $77,541, the position is now slightly profitable for the first time in months.
Spot returns the movement. Global crypto funds brought in $1.4 billion last week according to CoinShares, the strongest inflow week since mid-January. Bitcoin took $1.12 billion, Ethereum took $328 million, Chainlink took $5 million, and Sui took $2 million. XRP saw $56 million in outflows and Solana $2 million, although both are trading at higher prices.
Two structural signals point in the same direction. Bitcoin is now holding above the price realized by short-term holders, at around $69,400 per Darkfost analyst, the level at which recent buyers are sitting on gains rather than losses, historically reducing the chances of a cascading selloff if sentiment reverses.
Separately, a Nomura survey found that 65% of Japanese institutional investors now hold bitcoin to diversify their portfolio, with 31% viewing the market outlook positively and most planning allocations of 2% to 5% over the next three years.
Bitcoin’s ability to hold $77,000 during the European session depends on how markets price the extension of the ceasefire in the event of continued disruption in the Strait of Hormuz.
A clear break above $80,000 would confirm that the 46-day funding rate squeeze is turning into a short squeeze. A reversal below $75,000 would mean the ceasefire extension is already priced in and the recovery needs a new catalyst.
