Bitcoin returned to $65,000 for the first time in a week as fresh BTC price volatility accompanied US claims that the Strait of Hormuz was “open and operating.”
Bitcoin (BTC) hit $65,000 after Tuesday’s Wall Street open as US stocks rebounded in spite of geopolitical pressure.
Bitcoin diverges from US stocks as Trump says Strait of Hormuz “open”
Data from TradingView showed BTC/USD building on the week’s gains as the S&P 500 bounced from 7,696, its lowest level since Aug. 4.
BTC/USD four-hour chart. Source: Cointelegraph/TradingView
This came after US president Donald Trump posted a map of the closed Strait of Hormuz oil route to Truth Social where it was labeled “new US territory.”
Both the US and Iran lay claim to control of Hormuz, with Trump threatening US ally Oman with military action over its plans to work with Iran on charging tolls to shipping traffic. In a subsequent post, Trump confirmed that further diplomacy with Iran was not on the agenda.
“There are no talks or conversations going on, or scheduled, with the Islamic Republic of Iran. The Naval Blockade remains in full force and effect. The Hormuz Strait is open and operating. All water mines have been removed or detonated,” he wrote.
S&P 500 one-day chart. Source: Cointelegraph/TradingView
As on Monday, oil avoided major volatility, with WTI crude down 1% at the time of writing at $84 per barrel. US government bonds continued to show strain, with the 30-year yield hitting 5.34%, its highest since January 2007.
“Bond prices are sending warnings,” BNY Mellon analyst Geoff Yu wrote in a research note quoted by the New York Times. Yu said that the surge came as “investors demand more compensation for inflation risk,” while also attributing the upside to government borrowing.
US 30-year bond yields one-month chart. Source: Cointelegraph/TradingView
Updating X followers on BTC/USD, trader and analyst Aksel Kibar eyed the culmination of a potential reverse head-and-shoulders pattern at $62,300.
Related: Bitcoin price spike to $64.5K was ‘low-volume liquidity trap’: Analysis
“If $BTCUSD is going to rebound, it has to come from here,” he argued on Monday.