Digital Asset Treasury Firms Lead Cryptocurrency Stock Rally as Bitcoin Reaches $78,000

A significant surge in crypto-linked stocks occurred on Friday, driven by a sharp increase in the value of digital asset treasury firms, as progress in ending the Iran conflict boosted risk assets and sent bitcoin to a two-month high of $78,000. According to a post by US President Donald Trump on Truth Social, Iran has committed to keeping the Strait of Hormuz open, a crucial passage for global energy markets. Trump stated that peace talks between the countries are progressing and that reports of the US considering the unfreezing of $20 billion in Iranian assets, along with his remarks about acquiring Iran's enriched uranium, have further improved sentiment. As a result of the calming of fears about a prolonged energy crisis, crude oil prices plummeted by 13% to nearly $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 at digital 21shares. Mena stated that by removing one of the world's most significant geopolitical chokepoints, Iran has effectively triggered a massive wave of liquidity and investor confidence. With oil prices falling below $85 for the first time in a month, concerns about inflation may finally be alleviated. Bitcoin's price surged to $78,000, breaking out of a two-month range that had capped prices since early February, and increasing by nearly 5% over the past 24 hours. This move had a ripple effect on the broader cryptocurrency market, with major altcoins such as ether, Solana, and XRP experiencing 4%-5% gains. In terms of crypto-related equities, the biggest winners were crypto treasury firms, which had been heavily impacted in recent months. Trump-family-backed American Bitcoin jumped more than 21%, while Strategy surged 13%. Strive and ProCap added around 10%-11% as investors shifted back to high-beta bitcoin exposure. Similar trends were observed in altcoin-linked equities, with Forum Markets climbing 19% and Solana-linked names like Solmate and Upexi gaining 12%-11%. Other digital asset-related stocks also advanced, including Coinbase, which rose more than 6%, Galaxy, which gained 8%, and Bullish, which rose 4.5%. By the early afternoon on the East Coast, the Nasdaq and S&P 500 had each increased by about 1.4%, reaching new record levels.