Bitcoin rose back above $65,000 as easing tensions between the United States and Iran and progress on the proposed U.S. Clarity Act lifted demand for risk assets.
Lower geopolitical tension and faster-moving U.S. regulatory work on crypto assets strengthened buying across the cryptocurrency market, with Ethereum and several other large digital assets also gaining.
The halt in military operations between the United States and Iran and a shift toward diplomatic talks supported investor confidence in global markets.
Oil prices also pulled back as tensions eased, reducing concerns about energy costs and supporting expectations that inflation pressures could weaken. Investors responded by returning to equities and crypto assets.
Progress on the Clarity Act draft under discussion in the U.S. Congress provided additional support. The draft is expected to establish a clearer legal framework for crypto assets and reduce longstanding regulatory uncertainty in the sector.
The proposal includes measures to clarify the division of authority between the Securities and Exchange Commission and the Commodity Futures Trading Commission, strengthen legal protections for decentralized finance developers and secure property rights tied to personal crypto wallets.
Bitcoin’s gains were also supported by a slowdown in net outflows from spot Bitcoin exchange-traded funds and renewed buying by institutional investors.
Analysts cited in the report said accumulation by large funds in the spot market had reduced selling pressure and tightened market liquidity. Open interest in futures and options markets also increased, indicating stronger bullish expectations among investors.
Demand rose for call options with a $70,000 strike price, while recovering technical indicators and upward crossovers in short-term moving averages added support to the rally.
Ethereum and other high-market-cap altcoins also advanced, and the Fear and Greed Index moved back above neutral.
