Bitcoin price rose 6.7% on Wednesday to a 3-week high of $72,379 as the ongoing war between the U.S. and Iran showed signs of de-escalation.
Summary
- Bitcoin rose 6.7% to a three-week high of $72,379 as a two-week US-Iran ceasefire eased geopolitical tensions and boosted risk appetite.
- Falling oil prices below $100 cooled inflation fears, driving gains across crypto, equities, and commodities.
- An ascending triangle pattern and strong momentum indicators point to further upside, with $74,500 as the next key resistance.
According to data from crypto.news, Bitcoin (BTC) briefly surged past the $72,000 psychological resistance on the morning of April 8, Asian time, before paring off some of its gains amidst profit taking and settling at $71,787 at the time of writing.
Bitcoin price rallied amidst a broader resurgence of demand for risk assets as crude oil prices fell back below $100 for the first time since the conflict began. West Texas Intermediate crude oil was down 16% over the past day to $94.7, while Brent crude oil slipped back 15% to $92.8 at press time.
As oil prices fell, it cooled down concerns of a spike in inflation, and this sparked a rally across both crypto and traditional markets. Ethereum (ETH) was up 7% back above the $2,200 mark while other major crypto assets such as XRP, BNB, SOL, and DOGE all marched upwards, bringing the total crypto market capitalization back above $2.52 trillion.
Gold price rose 3.7% to above $4,800 while Silver stood nearly 8% higher on the day. Asian tech stocks such as Japan’s Nikkei 225 rose 5.3% while the Hang Seng rose 3%. In the American sessions, tech-heavy stocks such as the S&P 500, Nasdaq Composite, and Russell 2000 Index saw notable gains.
Global markets started recovering after U.S. President Donald Trump announced late Wednesday that the U.S. would be suspending all attacks on Iran for two weeks.
He added that the decision came after Iran agreed to open the Strait of Hormuz, a vital shipping lane. The previous blockade had restricted the passage of ships, leading to the disruption of over 20% of the global oil supply.
Trump also revealed that the U.S. would be considering adopting the 10-point proposal from Iran during the two weeks to come to a peaceful resolution. Iranian officials, for their part, have welcomed the ceasefire and noted that they would allow the safe passage of tankers through the strait over the coming two weeks.
On the daily chart, Bitcoin price appears to be forming an ascending triangle pattern, a popular bullish continuation pattern that indicates a temporary consolidation phase in an established uptrend. When an asset breaks above the upper horizontal trendline of the pattern, it leads to sustained rallies over the following sessions, provided it is backed with strong volume.
At press time, technical indicators suggest that buyers were already gaining the momentum needed to support Bitcoin’s next leg higher. Notably, the Aroon Up at 92.86% (compared to a low 28.57% for the Down line) confirms the current price surge has staying power. Meanwhile, the Chaikin Money Flow index showed values rising to a positive territory, which means investors are actively moving fresh capital into Bitcoin.
For now, Bitcoin faces its next major hurdle at $74,500, which aligns with the 38.2% Fibonacci retracement level. If buyers can clear this horizontal resistance, the price will likely challenge the $76,000 mark, which is the breakout point from the ascending triangle. A successful move above that level could trigger a sustained rally toward $80,000.
On the contrary, a drop below $69,000 could invalidate the current bullish setup.
Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.
