Bitcoin reached six-week highs above $74,500 as U.S. stocks opened, driven by easing geopolitical tensions in Iran. Trading firm QCP Capital noted the move tested Bitcoin’s digital safe haven narrative. Despite reclaiming key trend lines, traders remained skeptical, arguing the long-term downtrend persists and a standard bear market cycle has not concluded.
Bitcoin hit $74,600 at Monday’s Wall Street open as U.S. stocks gained on signals of deescalation in Iran. The price set another local high near $75,000 after a solid weekly close reclaimed key trend lines.
Geopolitical headlines steered market moves, with the U.S. stated it would allow Iranian oil tankers through the Strait of Hormuz. As a result, WTI crude oil fell below $100 per barrel, while gold retested the $5,000 mark as support.
Trading company QCP Capital wrote in its latest analysis that Bitcoin and Ethereum pushed higher while equities and gold remained under pressure. The firm noted recent price action suggested the narrative of Bitcoin as a ‘digital safe haven’ or ‘geopolitical hedge’ may be resurfacing.
Despite the breakout, traders remained concerned the move could collapse. Trader Jelle stated, “Longer relief bounce than expected, but in the grand scheme of things – it changes nothing.” He added that bull and bear markets have historically lasted similar amounts of time.
Trader Daan Crypto Trades focused on a weekend “gap” in CME Group’s Bitcoin futures near $71,500. He told followers this level could act as a local reversal zone if price starts trading into that area.
