Bitcoin Treads Water Above $64,000 as Hormuz Deal Hopes Grow

Bitcoin traded above $64,000 on Wednesday, as hopes for a deal to reopen the Strait of Hormuz continued to grow. The U.S. aims to announce a deal by Wednesday, according to Axios, with several officials asserting that a deal was close.

Tehran has warned that a deal could be delayed due to continued U.S. threats in the region, but optimism over a potential deal sparked deep losses in oil prices and risk-on moves in markets.

Crypto took fleeting support from this trend, with investors favoring artificial intelligence stocks over speculative plays like Bitcoin.

BTC rose 1% to $64,305.6 by 02:33 ET (06:33 GMT), but spot exchange-traded funds saw improving capital inflows in August after logging some inflows in July.