Bitcoin Reaches Three-Week High Amid US-Iran Ceasefire Proposal

Bitcoin Surges to Three-Week High Amid Ceasefire Deal Between US and Iran

Global markets turned more optimistic after a ceasefire deal between the US and Iran, leading to a surge in Bitcoin's price. The largest cryptocurrency climbed as much as 5% to $72,841, its highest level since March 18, in New York trading. Smaller tokens also notched big gains, with Ether rising as much as 7.5% to $2,273.

Stocks surged and the price of the US benchmark West Texas Intermediate crude oil fell below $95, nearing its biggest price drop in six years. The temporary easing of the Middle East conflict raised hopes that the crucial oil shipment corridor of the Strait of Hormuz would reopen. Bitcoin initially rallied in tandem with broader risk assets, as investors took comfort in the ceasefire.

Markets have been volatile since the war began on February 28, with investors concerned that a severe disruption to oil flows would stoke inflation and weigh on economic growth. Bitcoin has been stuck in a range between roughly $60,000 and $75,000 since the war started. The cryptocurrency remains down more than 40% from its October record above $126,000.

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Traders who were betting on Bitcoin's decline were caught off guard by its jump in price. A move near the $72,000 level is pressing into a massive cluster of short liquidity, according to Adam Saville-Brown, head of commercial at Tesseract Group. A price move above $73,500 could set off a cascade that could push Bitcoin closer to $80,000.

Short positions worth more than $250 million have been liquidated in the past day, according to CoinGlass data. This comes as Bitcoin's price continues to move higher. Spot activity remains soft, according to a report from blockchain data firm Glassnode. Until spot demand picks up, rallies are likely to feel fragile, with limited follow-through.

US-listed spot Bitcoin exchange-traded funds drew $471.3 million in net inflows on Monday, building on $22.3 million last week. This marks a sharp reversal from nearly $300 million in outflows the week prior. March recorded about $1.3 billion in net inflows into the ETFs, a stabilization after four straight months of net outflows that began in November 2025.

Comparison of Bitcoin's Price Movement

Read also: Bitcoin's Inflation-Hedging Potential Erodes as Price Falls Below $70,000

Comparison of Short Positions Liquidated