Bitcoin climbed to $74,161 on Friday, up 1.1% in 24 hours, as negotiations between the U.S. and Iran over a potential nuclear deal fueled hopes that the Strait of Hormuz might reopen. A breakthrough could lower oil prices and ease global inflation — a tailwind for risk assets like crypto.
What each side wants
President Donald Trump proposed that Iran permanently abandon nuclear weapons, reopen the strait without tolls, and allow U.S. teams to remove buried enriched uranium. Iran countered by demanding the immediate release of $12 billion in frozen assets, a Lebanon ceasefire as a precondition, and rejected toll-free passage and U.S.-led uranium destruction.
The New York Times reported a draft framework that includes a $300 billion reconstruction fund for Iran, labeled an 'international investment fund' by U.S. negotiators. The fund would be tied to compliance milestones.
Why crypto traders care
For crypto markets, the key variable is the Strait of Hormuz. Roughly 20% of global oil passes through the chokepoint. A reopening would likely push oil prices down, reducing inflation pressure that has kept the Federal Reserve from cutting rates. Cheaper money tends to flow into speculative assets, including Bitcoin.
The seven-day chart still shows a 3.6% loss despite Friday's bounce. The rally hasn't erased the week's earlier slide, but the direction shifted sharply after news of the talks broke.
What happens next
Negotiators are expected to meet again within the next two weeks in Vienna, according to diplomatic sources cited by The Times. The Iranian delegation has signaled openness to further talks but insists on financial guarantees first. A formal framework could emerge by mid-June — or talks could collapse if either side holds firm on its red lines.
