Bitcoin broke through $105,000 again after Donald Trump's dramatic announcement confirming a complete ceasefire between Israel and Iran.
President Trump declared that after a 12-day war was "officially ended" following a 24-hour two-stage ceasefire initiated first by Iran, then by Israel.
Iran-Israel Ceasefire, Market Impact
The cryptocurrency market quickly reacted. Over the weekend, Bitcoin had dropped below $100,000 due to news of a potential closure of the Hormuz Strait. With today's announcement, BTC rebounded by more than 5%.
Ethereum also rose, breaking through $2,400 again, and risk sentiment improved across the digital asset market.
The ceasefire immediately removed fears of further military escalation and global oil disruption. Additionally, oil prices began to decline early, despite Iran targeting US military bases in Qatar, widely anticipating tension relief.
On this day, the Iranian parliament approved a proposal to close the Hormuz Strait, which handles 25% of global oil transportation.
If that closure had been implemented, oil prices could have surged, reigniting inflation and delaying central bank rate cuts.
Instead, the ceasefire reduced pressure on energy markets and restored some geopolitical stability, allowing capital to flow back into risk assets.
The market will closely monitor whether both sides comply with the 24-hour ceasefire protocol and whether the Hormuz Strait remains open.
If the ceasefire holds, macroeconomic stability could quickly return, positively impacting both stocks and cryptocurrencies. However, any violations or renewed tensions could send Bitcoin back into risk-averse territory.
