Bitcoin hovered around $70,000 as markets reacted to conflicting statements from Washington and Tehran regarding potential progress in easing geopolitical tensions.
US President Donald Trump described recent contacts with Iranian officials as constructive, prompting a brief market rally that pushed Bitcoin up roughly 3.5% to about $71,250 while Ethereum rose 2.5% and oil prices fell sharply.
Iran quickly rejected those claims, with its Foreign Ministry stating no productive discussions had taken place and confirming it had not responded to mediation efforts from countries including Turkey, Oman, and Egypt.
Tehran reiterated strict conditions for any resolution, including the closure of US military bases, disarmament of American forces, full control over the Strait of Hormuz, financial compensation, and guarantees against future military action.
The contradictory narratives left markets directionless, with Bitcoin unable to sustain its rally as traders weighed geopolitical uncertainty alongside macroeconomic risks tied to energy prices and inflation.
Rising oil prices remain a critical variable, as any escalation around the Strait of Hormuz could increase inflationary pressure and influence interest rate expectations, typically weighing on risk assets such as cryptocurrencies.
On-chain data shows Bitcoin’s Exchange Whale Ratio at 0.7, a level historically associated with accumulation phases, suggesting large holders may be positioning for a potential market turning point despite ongoing volatility.
At the time of reporting, Bitcoin price was $70,388.79.