Bitcoin, Stocks Surge as Iran Says Strait of Hormuz Is ‘Completely Open’

Bitcoin jumped to a two-month high on Friday after Iran declared that commercial traffic could flow freely through the Strait of Hormuz amid the ceasefire between Israel and Lebanon.

“In accordance with the ceasefire in Lebanon, passage for all commercial ships through the Strait of Hormuz is declared fully open for the remaining period of the ceasefire,” Seyed Abbas Araghchi, Iran’s Foreign Minister, said in an X after before the opening bell.

Araghchi made clear that ships must cross the strait, through which 20% of the world’s oil flows, along a “coordinated route” set out by Iranian officials. The ten-day ceasefire between Iran and Lebanon started in the US on Thursday evening

Bitcoin recently changed hands around $77,400, up 5% from the past day Coin gecko. That represented the highest price for digital assets since early February and an increase of more than 22.6% since conflict erupted in the Middle East seven weeks ago.

Altcoins saw bigger gains over the same period: Ethereum rose 6% to $2,440 and XRP rose 6% to $1.49, while Solana rose 6.4% to $90. On Wall Street, the S&P 500 and the tech-heavy Nasdaq rose to record highs.

Strategy’s share price rose 12.5% ​​to $168, a three-month high. Yahoo Finance. Meanwhile, Coinbase shares rose 5% to $210, while Robinhood shares rose 5% to $92 on the day.

“THE STRAIT OF HORMUZ IS OPEN FOR BUSINESS,” US President Donald Trump confirmed in a Truth Social after. However, until the US is able to fully implement the terms of its deal with Iran, the president said Iranian ships would be subject to a blockade.

“The reopening of the Strait of Hormuz is the risk signal global markets have been waiting for,” Matt Mena, senior crypto research strategist at crypto asset manager 21Shares, said in a statement. “By removing one of the world’s most important geopolitical bottlenecks, Iran has essentially unleashed a massive wave of liquidity and investor confidence.”

WTI crude futures fell after Araghchi’s announcement and are on track to fall 11% on the day to $84 a barrel, according to Trade economics. Earlier this month, the US benchmark jumped to $115, representing the highest price since September 2022.

On Myriad, a prediction market owned by Declutter‘s parent company Dastan, traders started provided WTI crude futures hit $55 before $120. Before Araghchi’s statement, they estimated as much as a 76% chance that the higher figure would be achieved on Friday.

Moreover, countless traders gained confidence in it that the seven-day moving average of transit calls through the Strait of Hormuz would rise above 15 before the end of the month. They projected an 84% chance of this happening, significantly higher than the 45% chance a month ago.

Editor’s note: This story was updated with additional details after publication.