Bitcoin approached $66,000 after the US and Iran announced a preliminary peace agreement. The Crypto Fear and Greed Index rose from 19 to 23, while doubts over the formal signing, ETF outflows and the Federal Reserve’s next rate decision kept traders cautious.
Bitcoin approached $66,000 on Monday as the announced US-Iran peace agreement encouraged traders to return to risk assets. The cryptocurrency reached $65,881 on Coinbase, its highest price in nearly two weeks.
Trump Announces US-Iran Peace Agreement
US President Donald Trump said Washington and Tehran had completed an agreement aimed at ending the conflict and reopening the Strait of Hormuz. In a Truth Social post, he declared, “The deal with the Islamic Republic of Iran is now complete.”
Trump also said he had authorized the “toll-free opening” of the waterway and the removal of the US naval blockade. He later stated that oil would flow through the region again after the agreement is signed.
Iranian officials confirmed that both sides had reached a preliminary agreement. The arrangement includes an end to hostilities and further talks over Iran’s nuclear program. Pakistan helped mediate the discussions, while the formal signing is expected on Friday.
Still, key details have not been announced. It also remains unclear when normal shipping will resume. Iranian statements referred to reopening the strait within 30 days, while Trump described the opening as immediate. That difference has raised questions about the timetable.
Bitcoin Reaches Its Highest Level Since June 3
Bitcoin rose toward $66,000 after the announcement reduced concerns about a prolonged conflict and further disruption to global energy supplies. The asset had not traded above that area since June 3.
The recovery follows Bitcoin’s brief move below $60,000 on June 6. Buyers have since pushed the price higher, although it still trades well below its October peak above $126,000.
Other cryptocurrencies also advanced. Ether gained more than 2% to trade near $1,718, while XRP rose about 3%. Cardano and Solana recorded gains of more than 4%, and BNB added around 1%.
Oil prices moved in the opposite direction. West Texas Intermediate crude fell about 5% to just above $80 per barrel. Brent crude dropped more than 4% to around $83 as traders considered the possible return of oil shipments through the Strait of Hormuz.
Crypto market sentiment also showed a modest recovery, suggesting that sentiment improved alongside Bitcoin’s price. CoinMarketCap’s Crypto Fear and Greed Index climbed from 19, classed as extreme fear, to 23, which falls within the fear range.
The seven-day average stood at 15, showing that caution still shaped market activity despite the latest price rise.
Moreover, Spot Bitcoin exchange-traded funds recorded a fifth straight week of withdrawals. Weekly outflows slowed to about $315.8 million, compared with withdrawals of more than $1 billion during some earlier weeks. The lower figure reduced selling pressure, but it did not mark a return to net inflows.
Questions also remain around the US-Iran agreement. One market researcher said the deal could remove a major geopolitical risk but warned of possible “last-minute signing issues.” The agreement will not take full effect until both sides sign it and complete the stated steps.
Meanwhile, traders are preparing for the Federal Reserve’s interest rate decision on Wednesday. Markets largely expect rates to stay between 3.5% and 3.75%. Any unexpected policy signal could bring fresh volatility to Bitcoin and the wider cryptocurrency market.
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