The cryptocurrency market surged following geopolitical de-escalation news involving the U.S. and Iran. Bitcoin reached a ten-week high above $78,000, driving the total market capitalization past $2.7 trillion. Major altcoins followed the rally, triggering over $810 million in leveraged position liquidations.
The total cryptocurrency market capitalization surged to a multi-month peak of over $2.7 trillion. This occurred after the two main sides in a Middle East conflict, the US and Iran, announced major de-escalation news on Friday.
The developments included the reopening of the Strait of Hormuz and progress on peace talks. US President Donald Trump stated that Iran had agreed to reopen the Strait, a claim later confirmed by officials of the Middle Eastern country.
Trump explained that Iran and the US would work together to remove mines from the Strait. He also noted that both nations would recover Iran’s enriched uranium to be sent back to the US.
“Trump says that a deal to end the war between the US/Israel and Iran is now ‘mostly complete’, according to a tweet summarizing his announcements. The President claimed Iran agreed to suspend its nuclear program indefinitely and would not receive any frozen funds from the US.
Bitcoin reacted immediately to the news, surging toward $77,000. Subsequent developments pushed it further, tapping $78,400 for the first time since February 4.
Although it retreated below $78,000, BTC remains 5% up on the day and more than 7% higher than last Friday. Many altcoins, such as ETH and XRP, marked gains of 5% or more as well.
Data from CoinGlass shows that more than $810 million worth of leveraged positions were liquidated in the past day. Long positions accounted for the lion’s share at $663 million.
The single-largest liquidation occurred on Hyperliquid and was worth almost $16 million. In contrast, USOIL dropped by 12% in the past day, dipping below $80 for the first time in five weeks.
