Bitcoin rose above $65,000 late Sunday as easing geopolitical tensions lifted sentiment across global markets, following reports of a finalized peace agreement between the United States and Iran.
The cryptocurrency gained 2.4% over the past 24 hours to trade at $65,793, rebounding from a weekend low near $63,600 as traders reacted to the prospect of reduced global risk.
crypto prices climb alongside global markets
Ethereum increased 2.8% to $1,720, while XRP rose 3.5% to $1.19 and Solana added 4.2% to reach $71.11. The upward move in digital assets mirrored a broader rally in Asia, where Japan’s Nikkei 225 jumped 4.89% and South Korea’s Kospi surged 5.63%. Gains were more moderate in Greater China, with Hong Kong’s Hang Seng up 0.45% and the Shenzhen Component Index rising 2.53%.
The gains followed confirmation of a diplomatic breakthrough between Washington and Tehran, with officials indicating the agreement will be formally signed Friday in Switzerland.
peace deal eases global risk concerns
The agreement includes plans to end the U.S. naval blockade and reopen the Strait of Hormuz, a critical shipping route that handles roughly 20% of global oil supply. The waterway’s disruption over recent months had fueled volatility across commodities and financial markets.
Market analysts said the reopening signals a sharp reduction in geopolitical risk. John of Zeus Research described the move as a broad repricing of risk assets, while Jung of Presto Research said improved sentiment helped push Bitcoin and Ethereum higher following initial reports.
Maeda of Laevitas noted that comments outlining the deal framework reduced the risk premium in oil markets, easing pressure across asset classes. Ko of CoinEx added that macro expectations tied to the agreement played a key role in driving price action.
oil prices slide as supply outlook improves
Crude oil fell sharply as traders unwound risk premiums tied to supply disruptions. WTI futures dropped 4.84% to $80.77 per barrel, while Brent crude declined 4.33% to $83.53, both hitting their lowest levels in more than three months.
The sell-off reflects expectations that oil flows will normalize once the Strait of Hormuz fully reopens, easing concerns about constrained global supply.
relief rally follows weeks of pressure
The rebound in digital assets comes after a period of sustained losses. The overall cryptocurrency market has shed more than $800 billion in value since early June, with Bitcoin briefly falling below $60,000 for the first time since 2024.
Spot Bitcoin ETFs also recorded heavy outflows during the downturn, with withdrawals exceeding $2.9 billion over a recent stretch, signaling reduced risk appetite among traders before the geopolitical outlook improved.
focus shifts to Federal Reserve outlook
Attention is now turning to the Federal Reserve’s upcoming policy meeting, which will be the first chaired by Kevin Warsh. The June 16–17 gathering is expected to provide direction on interest rate policy for the remainder of the year.
With inflation running at a three-year high, traders are closely watching for any changes in tone or projections from the central bank. Expectations for rate cuts have diminished, and any shift in guidance could introduce fresh volatility just as global markets stabilize following the geopolitical breakthrough.
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