Hormuz Reopening Optimism Lifts Bitcoin to $64K as Oil Prices Plummet
Bitcoin (BTC) prices continued their upward trend on Tuesday, reaching new highs of $64,176 on Bitstamp. This price surge coincided with optimism over the potential reopening of the Strait of Hormuz, a key oil shipping route in the Middle East.
US Treasury Secretary Scott Bessent's comments suggesting that traffic through the Strait could restart as soon as Wednesday sent oil prices plummeting to their lowest levels since July 13. WTI crude traded 4.8% lower, while Brent crude fell by 4.6%.
The S&P 500 index also reached a new record high of 7,713 on Tuesday, with its market cap topping $70 trillion for the first time. Analysts noted that resolution of the Hormuz closure could influence market sentiment when it comes to future Federal Reserve policy decisions.