Crypto Market Remains Cautious Amid Ongoing Tensions Between US and Iran

The cryptocurrency market has maintained its somewhat lethargic pace on Thursday, with Bitcoin (BTC) nearing $65,000 and Ethereum (ETH) holding above $1,900. However, Ripple (XRP) is trading under pressure around $1.05 due to the ongoing decline.

A potential deal between Iran and Oman on the management of shipping through the Strait of Hormuz has not materialized yet. Despite reports that a strategic framework for commercial shipping was nearing completion, Iranian Deputy Foreign Minister Kazem Gharibabadi emphasized that any agreement would not necessarily guarantee the immediate reopening of the waterway.

The US Vice President JD Vance stated in a Fox News interview that negotiations with Iran are likely to be “messy”, citing significant challenges posed by Iran’s fractured political system and negotiating stance. Iran has continued to deny negotiations with the US, despite President Donald Trump's optimism on Tuesday that a deal could be announced this week.

Crypto market sentiment is back in Extreme Fear territory at 25, down from 27 the day before, as investors assess the direction the US and Iran are likely to take if negotiations fail.