Bitcoin prices remained stable on Thursday as reports emerged that former U.S. President Donald Trump is prepared to broker an end to the ongoing US-Iran conflict without requiring the reopening of the Strait of Hormuz. The cryptocurrency, often seen as a hedge against geopolitical instability, showed little reaction to the news, trading within a narrow range around $68,000.
According to unnamed diplomatic sources familiar with the matter, Trump has privately communicated a willingness to negotiate a ceasefire agreement that would avoid further escalation in the region. Analysts suggest this development could reduce the ‘geopolitical risk premium’ that has supported Bitcoin’s recent rally.
‘The market appears to be pricing in reduced conflict risk,’ said Marcus Thielen, head of research at crypto analytics firm Matrixport. ‘Bitcoin’s stability suggests traders see this as a neutral-to-positive development for risk assets.’
The Strait of Hormuz, a critical oil shipping chokepoint, has been a flashpoint in US-Iran relations for decades. Some experts had feared renewed tensions could disrupt global energy supplies, potentially driving investors toward alternative assets like Bitcoin.
Looking ahead, market participants will watch for official confirmation of any diplomatic progress. A verified agreement could further stabilize cryptocurrency markets, though some analysts warn that Bitcoin’s correlation to traditional risk assets may increase in a lower-volatility environment.