Bitcoin, Ethereum near two-month peaks as market optimism rises over U.S.-Iran peace talks

(SeaPRwire) –   Cryptocurrency markets are wagering on a potential de-escalation in the conflict between the U.S. and Iran. According to data from Binance, Bitcoin climbed 5% in the last 24 hours to approximately $75,000 by early Tuesday afternoon, approaching its highest level since the start of February. Ethereum, the second-largest digital currency, posted a more substantial daily gain, surging 7% to nearly $2,400 and reaching a two-month peak.

The collective market value of all cryptocurrencies increased by 4% to $2.6 trillion, echoing advances in equity markets. The S&P 500 was up 1% and the Nasdaq Composite jumped almost 2% on Tuesday morning. In a note, Alex Kuptsikevich, chief market analyst at FxPro, stated, “The cryptocurrency rally was fueled by a notable resurgence in risk appetite across traditional financial markets.”

Bitcoin’s ascent past $75,000 provides a boost of confidence for traders who have observed the leading cryptocurrency’s difficulty in maintaining a prolonged uptrend during a turbulent six-month period.

After reaching an all-time high near $126,000 in October, Bitcoin’s value sharply declined following new tariff threats against China from former President Trump. The wider digital asset sector was unable to bounce back, with prices falling until the end of January, after which Bitcoin traded in a range between $60,000 and $75,000 during February and March.

Since then, the digital asset’s price movements have generally followed the wider volatility in financial markets, which have been buffeted by Middle East tensions and concerns about increasing oil prices.

The recent positive sentiment in traditional markets follows weekend peace talks between the U.S. and Iran. Vice President JD Vance traveled to Pakistan on Saturday for extended discussions with Iranian officials regarding the possibility of concluding the month-long conflict and reopening the Strait of Hormuz, a critical passage for global oil shipments.

Although the talks did not yield an agreement, former President Donald Trump stated on Monday that Iran remains interested in negotiating a resolution. He said, “We’ve been called by the other side and they would like to make a deal very badly.”

Analysts suggest that with stock markets advancing on the back of peace negotiations, the cryptocurrency market has significant room for a recovery.

Ish Asad, a research analyst at Bitwise, commented, “While the S&P 500 is approaching record highs, Bitcoin is still trading nearly 50% below its peak and seems to have considerably more potential for growth.”