bitcoin It rose slightly on Monday as a sharp drop in oil prices helped lift Asian stock markets.
At 6:35 UTC, the leading cryptocurrency by market value was trading near $77,200, up 0.4% from midnight UTC, according to data from CoinDesk. At that level, bitcoin was trading just above its widely followed 50-day simple moving average of around $76,940. Traders and chart analysts follow this key level closely, and sustained breakouts above it are generally considered bullish. Other major cryptocurrencies also rose modestly.
XRP and Solana (SOL) rose 0.6% or more, while Ether (ETH) gained 0.4%. However, all three continued to trade below their respective 50-day moving averages, lagging behind Bitcoin on this metric.
Futures tied to West Texas Intermediate crude oil fell more than 5% to around $91 a barrel, extending a sharp decline from last Wednesday’s high above $104. Asian stocks rallied, with India’s Nifty up more than 1%, Japan’s Nikkei up nearly 3% in early trading and Australia’s S&P/ASX 200 adding 0.4%.
These measures follow reports over the weekend that a deal to reopen the Strait of Hormuz, a flashpoint that accounted for more than 20% of global oil flows before the war with Iran began in late February, was in its final stages.
Last week, Iran’s IRGC claimed to have allowed more than 20 oil tankers through the strait, although that volume remains far below pre-war levels.
US Secretary of State Marco Rubio said negotiators in Washington and Iran have “something pretty solid on the table” and that a deal to end the war between the two countries could be reached on Monday. He said the United States is willing to exhaust all diplomatic options but would seek other means if a good agreement could not be reached.
Analysts still maintained a cautious outlook on bitcoin, citing more than $2 billion in spot ETF outflows over the past two weeks.
“For cryptocurrencies, the key signal is whether ETF outflows are slow. Bitcoin can absorb some institutional selling if stablecoin liquidity remains firm and long-term holders are patient. Sustained ETF redemptions would make each rally more difficult to sustain,” said Timothy Misir, head of research at BRN, in an email.
India-based FIU-registered exchange CoinSwitch noted that the completion of a US-Iran peace deal would be necessary for further sustained gains.
“Sentiments improved after reports of progress in US-Iran peace talks, including a possible reopening of the Strait of Hormuz, which helped BTC recover towards $77,000. Still, the deal is not finalized, so traders are not fully risked yet. Exchange data also remains a point to watch, with 18,528 BTC net moving to centralized exchanges, suggesting possible selling pressure,” the exchange said in an email.
