Bitcoin (BTC) climbed back above $71,000 during early Asian trading on Wednesday, buoyed by renewed risk appetite after the Donald Trump administration reportedly presented Iran with a 15-point proposal aimed at ending the ongoing conflict.
The move injected short-term optimism into global markets, with investors rotating back into risk assets like crypto amid hopes of de-escalation. Reports indicate the plan includes a potential one-month ceasefire and broader negotiations, though Iran has so far responded cautiously and, in some cases, dismissed the proposal publicly.
Key takeaways:
- Bitcoin jumped 4% to $71,500 after President Donald Trump sent Iran a 15-point proposal aimed at ending the conflict, boosting short-term market sentiment.
- However, the rally faces strong resistance above $72,000.
Bitcoin jumps 4% on ceasefire hopes
Data from TradingView shows BTC rose as much as 4% to an intraday high of $71,300 from Tuesday’s low of $68,890, fully recovering the losses recorded the previous day.
The price move followed reports that the US, via primary intermediary Field Marshal Syed Asim Munir, Pakistan’s Chief of Army Staff, delivered a 15-point proposal to Iran aimed at ending the conflict.
Key elements of the plan reportedly include a temporary ceasefire, demands for Iran to dismantle or significantly scale back its nuclear program, halt its ballistic missile development, and fully reopen the Strait of Hormuz to ensure safe maritime traffic.
Meanwhile, Iran continues to deny that any negotiations are taking place, even as Donald Trump delays his self-imposed deadline for Tehran to reopen the Strait of Hormuz.
Following the developments, oil markets reacted sharply. West Texas Intermediate (WTI) crude fell 5.75% to around $87 per barrel, while Brent crude dropped about 6% to trade near $98, as easing geopolitical fears weighed on prices.
Gold extended the previous session’s gains, rising 2.53% on the day to trade at $4,561 at the time of writing.
The move has helped ease inflation concerns linked to potential disruptions in shipping through the Strait of Hormuz, supporting broader risk sentiment and lifting assets like Bitcoin.
Analysts pointed to the rapid market repricing, with Coinlore describing Bitcoin as a “real-time sentiment instrument for global risk.” CryptoQuant analyst Axel Adler Jr added that BTC is “likely to remain headline-driven” until the US and Iran issue a clear public signal of de-escalation.
Bitcoin may face “rough times ahead”
Despite the rebound, Bitcoin’s upside appears capped near $72,000, where the 50-day exponential moving average (EMA) aligns with the upper boundary of a symmetrical triangle pattern.
A decisive break above $72,000 could confirm a bullish breakout, opening the door to a projected move toward $92,400 — roughly 30% above current levels.
Glassnode’s cost-basis distribution heatmap shows a dense cluster of supply and resistance between $72,000 and $74,000, where investors accumulated around 380,000 BTC over the past 30 days. This suggests sellers may strongly defend this zone.
On the downside, a strong accumulation zone lies around $65,000, where investors previously bought roughly 160,000 BTC.
This level aligns with the lower boundary of the symmetrical triangle, and a breakdown below it could trigger a further decline toward the pattern’s bearish target near $52,500.
Meanwhile, Capriole Investments’ Bitcoin Macro Index has fallen to -1.37 — a level historically associated with the depths of past bear cycles.
Data shows the metric has typically remained at or below these levels for extended periods, often lasting up to a year before a recovery begins.
“Bitcoin Macro Index is in the value zone,” Capriole Investments founder Charles Edwards said in a post on X on Wednesday, adding:
“In all prior instances, price went lower into deeper value first before recovering, suggesting we may have more rough times ahead first.”
