Hormuz Deal Hopes Boost Sentiment, But Will It Last?
Bitcoin prices have been relatively flat since the US-Israel war on Iran began in late-February, but there are some encouraging signs. Hopes for a deal to reopen the Strait of Hormuz, which has been closed due to tensions between the US and Iran, may be boosting sentiment.
The possibility of improved oil flows through the strait is expected to reduce inflation concerns, which could positively impact Bitcoin prices. In fact, US President Donald Trump said talks with Iran are going well, although Tehran denies direct negotiations have taken place.
Bitcoin has been trading at around $64,000 for several days now, and investors are keeping a close eye on ETF flows. Spot Bitcoin ETFs saw inflows of $626 million in early August, which is an improvement from the previous month's $172 million. However, it remains to be seen whether these flows will continue.
Crypto prices were mixed, with some altcoins performing better than others. Ethereum rose 1% to $1,897.90, while Litecoin fell 1.7% to $1.0437. Solana was down more than 1%, and Cardano also declined. Memecoins Dogecoin and Shiba Inu slipped 1.9% and 1.1%, respectively.
Circle's second-quarter revenue missed expectations, causing its stock to fall overnight.