Digital Asset Treasury Firms Drive Crypto Stock Rally as Bitcoin Reaches $78,000

A significant surge in crypto-linked stocks occurred on Friday, driven by a sharp rally in digital asset treasury firms, as progress in ending the Iran conflict boosted risk assets, causing bitcoin to reach a two-month high of $78,000. President Trump stated that Iran had committed to keeping the Strait of Hormuz open, a crucial artery for global energy markets, and that peace talks between the countries were progressing. Reports of the US considering unfreezing $20 billion in Iranian assets and Trump's remarks about acquiring Iran's enriched uranium further boosted sentiment. As a result, crude oil prices dropped 13% to near $80 per barrel. The reopening of the Strait of Hormuz has been seen as a risk-on signal for global markets, according to Matt Mena, a senior crypto research strategist. Bitcoin climbed to $78,000, breaking out from a two-month range, and major altcoins such as ether, Solana, and XRP posted 4%-5% gains. Crypto-related equities, particularly crypto treasury firms, experienced significant gains, with Trump-family-backed American Bitcoin jumping over 21%, and Strategy surging 13%. Other digital asset-related stocks, including Coinbase, Galaxy, and Bullish, also advanced, with the Nasdaq and S&P 500 reaching new record levels.