Bitcoin briefly spiked to $69,350 on Monday following reports that President Trump had proposed a ceasefire with Iran. The rally proved short-lived: the cryptocurrency finished the day down 0.6% as euphoria evaporated. Other major coins also slid — Ether fell to $2,104, Solana dropped 2.7% to $79.75, XRP lost 1.6% to $1.32, Dogecoin declined 2.2% to $0.09, and BNB held near flat at $598.
Ceasefire News Triggers Short Squeeze
For the past six weeks, the crypto market has been trapped in similar short-term swings: good headlines spark brief rallies, bad news quickly kills momentum. Diana Pires, director of business development at sFOX, noted that fundamental indicators remain unchanged, but sentiment has shifted toward expecting a decline. The ceasefire report prompted a rush to close short positions, amplifying volatility. Monday’s abrupt upswing led to liquidations of $196.7 million in short positions, according to data cited in the report.
By Tuesday, however, reports emerged that Iran — via Pakistan — had rejected the ceasefire offer, demanding sanctions removal, a permanent end to hostilities, and reconstruction guarantees. The reversal erased the rationale behind the bounce.
Oil Rises, Macro Data Remain Mixed
Geopolitical risks and fresh Trump comments pushed oil higher. U.S. crude surpassed $112 per barrel, and Brent rose 2.9% to near $115.66. Despite global jitters, the S&P 500 logged its longest rally since January, showing resilience in U.S. equities. Macroeconomic signals are less clear: U.S. service-sector growth slowed in March, while new employment posted its sharpest contraction in a year, even as cost pressures accelerated. That ambiguous backdrop leaves the Federal Reserve’s next rate move uncertain, and inflation data due later this week could sway markets.
Bitcoin Stuck in $65K–$73K Range
Bitcoin continues to oscillate between $65,000 and $73,000, the same band that has contained it since the recent crisis began. Resistance at the upper limit caps any further gains, while support at the lower end prevents deeper declines. With Trump’s deadline approaching, traders are watching closely to see which direction the asset will break from this range.