Bitcoin moved above $78,000 on Wednesday as easing tension in the Middle East improved risk appetite across digital assets. Traders were reacting to comments from U.S. President Donald Trump on an extended ceasefire involving Iran, while Strategy’s latest Bitcoin purchase also added support.
At the time cited in the report, Bitcoin was up 2.2% over 24 hours and 4.3% over the week, trading near $78,145. The total crypto market value rose above $2.7 trillion. Ethereum, Monero, Bitcoin Cash, BNB, and Solana also posted gains.
Ceasefire comments improve risk sentiment
Trump said the ceasefire would remain in place as officials waited for a “unified proposal.” He also said Iran’s government was “seriously fractured.” Those remarks helped lift sentiment in broader markets, with S&P 500 futures up 0.5% and Nasdaq 100 futures gaining 0.6%.
The report noted that this was not the first time crypto reacted to the conflict. In April, digital asset prices also rose after the U.S. and Iran agreed to pause hostilities for two weeks. The latest extension again pushed traders toward risk assets. Brent crude stayed near $98 a barrel, while the MSCI Asia Pacific Index slipped 0.7%, yet crypto remained firm.
Strategy adds 34,164 BTC as majors turn higher
Bitcoin led the move, and major altcoins followed. Ether rose 2.1% to $2,366, BNB added 1.3% to $640, and Solana gained 1.8% to $87. Most of the top 10 cryptocurrencies traded higher, with only stablecoins and Tron posting small declines.
Strategy disclosed that it bought 34,164 BTC for $2.54 billion at an average price of $74,395 per coin. That lifted the company’s total holdings to 815,061 BTC, acquired for about $61.6 billion at an average cost of $75,527.
With Bitcoin trading above that average cost basis, Strategy’s position returned to a modest unrealized profit. According to the report, this was the company’s largest Bitcoin purchase since November 2024, adding another sign of corporate demand to the market.
Nearly $460 million liquidated in 24 hours
Fund flow data pointed to renewed investor interest. CoinShares said global crypto funds recorded $1.4 billion in inflows last week. Bitcoin drew $1.12 billion, while Ethereum brought in $328 million. Chainlink and Sui also saw inflows, while XRP and Solana recorded outflows despite rising prices.
The rebound hit leveraged traders hard. Total liquidations reached about $460 million over the past 24 hours, and short positions accounted for roughly 70% of that figure. Bitcoin-related liquidations climbed to $212 million, while Ether positions made up $123 million.
Data also showed that nearly 110,000 traders were liquidated during the period. The largest single liquidation took place on Bitget and exceeded $7.5 million. The shift in positioning was sharp once the ceasefire update and Bitcoin’s move above $78,000 hit the market.