Bitcoin Holds Steady at $64,830 Amid Trump's Optimism on Strait of Hormuz Deal
Bitcoin has maintained its position around $64,830 in recent trading hours. The cryptocurrency gained 0.8% over the last day and increased by 1.3% in the past week.
The price movement is attributed to macroeconomic sentiment rather than a surge in crypto-specific demand. This view is shared by President Donald Trump, who highlighted robust employment numbers, improved manufacturing statistics, and easing inflation pressures as factors contributing to the brighter outlook.
Trump's comments also raised hopes for a potential agreement to reopen the Strait of Hormuz, a vital shipping lane for global oil supplies. If access to the strait resumes, oil prices could decrease, alleviating inflation concerns and creating breathing room for Treasury yields and the US dollar to decline.
This dynamic generally favors risk assets such as Bitcoin, which may benefit from broader appetite for investment in nontraditional markets. However, analysts note that several conditions must be met for this scenario to play out, including lower oil prices translating into reduced inflation expectations and declining real yields and a weaker dollar.