Bitcoin price climbed above $68,000 on Tuesday after Iranian President Masoud Pezeshkian said Iran was ready to end the war if it received security guarantees against further attacks. The move lifted broader risk sentiment and pushed the largest cryptocurrency to an intraday high near $68,400, according to the market data cited in the report.
The rally came after Bitcoin had traded below $66,000 earlier in the session. However, at press time, the BTC price surge had slowed down, with Coincodex showing a gain of more than 1.44% from its intraday low to trade at $67,754. The rebound followed a wider market reaction as investors responded to what appeared to be the clearest diplomatic signal from Tehran in recent days.
Pezeshkian said Iran did not seek war and was prepared to stop fighting, but only if it received formal guarantees that attacks would not resume. He also said Iran had entered earlier diplomatic talks in good faith before military strikes by the United States and Israel took place. His comments were read by markets as a possible opening for de-escalation, even though his demand for guarantees left a clear condition attached to any settlement.
The market also had support from earlier comments by US President Donald Trump, who had indicated that the conflict could end soon. Reports by WSJ earlier today also said Trump had told aides he was willing to wind down the military campaign even if the Strait of Hormuz remained largely closed, while pushing diplomacy and leaving any wider effort to reopen the waterway to allies at a later stage.
Diplomatic Shift Lifts Crypto and Broader Markets
The reaction was not limited to Bitcoin. Equity markets also moved higher after Pezeshkian’s remarks. The S&P 500 gained 162 points, the Nasdaq rose 675 points, and the Dow Jones Industrial Average added more than 1,000 points, according to the figures cited in the report. Treasury yields also moved lower, with the 10-year yield falling to 4.292% and the two-year yield dropping to 3.768%.
That mix of higher equities and lower bond yields suggested investors were reducing part of the geopolitical premium that had built up during the conflict. Bitcoin appeared to benefit from the same shift, especially as traders who had been watching the war and oil prices closely moved back into risk assets.
The latest comments also came after days of volatility linked to the Strait of Hormuz and energy markets. The war had pushed oil prices higher and raised inflation concerns, which had pressured both equities and crypto. Any sign that hostilities could slow was therefore enough to help reverse part of that move.
Institutional Demand and Political Risk Stay in Focus
Market participants also continued to cite institutional demand as a support factor for Bitcoin. Tony Pecore, a director at Franklin Templeton, said institutional buying had remained firm even when Bitcoin dropped from $126,000 to $60,000. He said the market now appeared to be preparing for another move higher.
At the same time, he said the US midterm elections later this year remain an important variable. According to his remarks, political uncertainty and possible changes to the regulatory framework could weigh on investor sentiment during the fourth quarter.
That leaves Bitcoin supported by two forces at once. On one side, there is steady demand from larger investors. On the other hand, there is the risk that politics and regulation could make the second half of the year more volatile.
On-Chain Signals Point to a Possible Bottoming Phase
Alongside the geopolitical news, on-chain market signals also remain part of the outlook. Recent commentary cited a decline in long-term holders’ SOPR below 1, a condition indicating that even long-term Bitcoin holders are selling at a loss. Because these investors usually react less to short-term price swings, such behavior is often treated as a sign of broader capitulation across the market.
Historically, periods when losses have become broad among both short-term and long-term holders have often occurred near major bottoms or long-term low zones. That does not confirm that Bitcoin has already formed a final bottom, but it suggests that selling pressure may be moving toward exhaustion.
Source: CryptoQuant
For now, Bitcoin’s jump to $68,400 shows how quickly sentiment can shift when war headlines soften. The next move will likely depend on whether Iran and the United States can turn these signals into an actual agreement and whether traders continue to treat recent on-chain stress as the final phase of fear rather than the start of another leg lower.