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Bitcoin rebounded toward $77,000 after President Donald Trump said a memorandum of understanding with Iran had been “largely negotiated,” giving markets fresh hope that tensions around the Strait of Hormuz could ease.
Bitcoin fell toward the mid-$74,000 range during the latest conflict-driven selloff before rebounding. The move showed how quickly crypto traders are reacting to Middle East headlines when they affect oil, inflation expectations and broader risk appetite.
Trump Says Hormuz Reopening Needs Final Approval
Trump said the agreement was still subject to finalization between the United States, Iran and other countries. He also said the Strait of Hormuz would be reopened as part of the deal, though the U.S. blockade would remain in place until an agreement is finalized and certified.
That caveat is significant because Hormuz is one of the world’s key energy chokepoints, meaning any credible reopening path could ease oil prices and inflation pressures. Oil prices and the dollar both fell as traders priced in possible progress on Hormuz.
BTC Recovers Toward $77,000 After Selloff
The market response suggested traders treated the headline as a risk-on signal. Bitcoin was sharply lower earlier before rising after Trump’s remarks, later trading around $76,962 in Asia as broader market sentiment improved.
The rebound does not erase the recent volatility. Bitcoin remains sensitive to headlines around the Iran conflict because higher oil prices can feed inflation concerns and weigh on risk assets.
Deal Uncertainty Keeps Bitcoin Rebound Fragile
The diplomatic risk is not gone. Israeli officials have told Washington they expect to retain freedom to act against threats, while negotiations remain tied to issues including Iran’s nuclear program and the future of the Strait of Hormuz. That leaves room for volatility if talks stall, if deal terms change or if regional actors reject parts of the framework.
Bitcoin still needs a sustained move above $77,000 to confirm the rebound. If diplomatic progress turns into a finalized agreement and oil continues to fall, BTC could retest higher levels as macro pressure eases. If the deal unravels, the same geopolitical shock that pushed Bitcoin lower could return quickly.
