Crypto Market Remains Sluggish Ahead of Good Friday Amid Rising Oil Prices and Geopolitical Tensions

By Francisco Rodrigues (All times ET unless indicated otherwise) The bitcoin price, currently at $72,134.79, is experiencing a period of stagnation near the $66,600 mark as it approaches the Good Friday holiday, with its movement influenced by escalating geopolitical tensions and shifting macroeconomic expectations. Although bitcoin saw a modest increase over the last 24 hours, it was unable to break through the $67,000 barrier. This struggle is attributed to U.S. President Donald Trump's adoption of a tougher stance on Iran, which now includes threats to the country's infrastructure. The price of Brent crude has surged to $120 per barrel in spot markets, a level not seen since 2008, due to the ongoing crisis and its impact on the Strait of Hormuz, a crucial passage for global oil shipping that has been effectively shut down. The resulting increase in energy prices has led to higher inflation expectations, undermining the case for interest rate cuts, which had been a key factor supporting bitcoin's recent rally. In Europe, inflation has already risen to 2.5%, driven primarily by energy costs. This pressure has exposed a divide in the market structure. While institutional investments in bitcoin ETFs have remained steady, with $22 million in net inflows this week, data from CryptoQuant indicates that total apparent demand has turned negative, with large holders selling more than they are buying. According to the data, wallets holding between 1,000 and 10,000 BTC have sold nearly 188,000 BTC since the peak last year. At current prices, almost half of all bitcoin in circulation is being traded at a loss. As the long weekend approaches, liquidity is expected to remain low, leaving bitcoin vulnerable to potentially higher volatility based on developments in the Middle East or statements related to macroeconomic trends. It is essential to remain vigilant. For further analysis of today's activity in altcoins and derivatives, please refer to Crypto Markets Today. Key Events to Watch: For a more comprehensive list of events this week, please see CoinDesk's "Crypto Week Ahead". Token Events: For a more comprehensive list of events this week, please see CoinDesk's "Crypto Week Ahead". Conferences: For a more comprehensive list of events this week, please see CoinDesk's "Crypto Week Ahead". Market Movements: Bitcoin Statistics: Technical Analysis: Crypto Equities: Crypto Treasury Companies: ETF Flows: Spot BTC ETFs: Spot ETH ETFs: Source: Farside Investors Overnight Developments: A French ship has crossed the Strait of Hormuz in the first Western European transit during the Iran war (euronews): This development could encourage other carriers to resume operations if the corridor proves reliable in the coming days, following Iran's deputy foreign minister Kazem Gharibabadi's announcement of a deal with Oman to secure traffic through the Strait of Hormuz. The U.S. has repatriated a Chinese drug fugitive, indicating stabilizing ties (The Wall Street Journal): This is the first case of its kind in recent years and is seen as a rare move that points to cooperation ahead of the planned Trump-Xi summit next month. Iran has targeted Gulf energy sites, and Trump has warned of further attacks (Bloomberg): Iran targeted more sites in Arab Gulf states, including in Kuwait on Friday morning, hours after Trump issued fresh threats against Iranian infrastructure to pressure Tehran to start peace negotiations. Japan has increased its FX efforts as volatility rises, signaling readiness to act (Reuters): The yen, trading near the psychologically key 160-per-dollar mark, has lingered at levels that stoke concerns of market intervention, highlighting growing unease over the speed and scale of its decline.