Bitcoin Retraces from Three-Week Highs Following US-Iran Ceasefire Relief

Bitcoin experienced a volatile session on Wednesday, briefly reaching a three-week peak of $72,865 before retracing its gains. The price action followed news of a minimum two-week ceasefire agreement involving the US, Israel, and Iran, which initially boosted sentiment across risk assets. The geopolitical relief triggered a sharp rally in equity markets, with the S&P 500 climbing more than 2.5% at the open to trade above 6,800. This surge added approximately $1.6 trillion in market value, bringing the index within 2.9% of a new record high. Energy markets reacted swiftly to the news as fears of a supply crisis eased. WTI crude oil fell to $91 per barrel, supported by the resumption of traffic through the Strait of Hormuz, despite reports of a separate attack on a Saudi oil pipeline. Within the Bitcoin market, analysts are focusing on key technical levels. Traders highlighted $72,000 as a significant resistance point that bulls must clear to sustain momentum. Conversely, the $69,500 level is viewed as crucial support to maintain a 'higher low' structure and continue the upward trend. Market participants are now shifting their focus toward upcoming US inflation reports. These releases are expected to quantify the economic impact of the recent conflict and are likely to drive further volatility in both crypto and traditional risk assets.