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

A surge in crypto-linked stocks occurred on Friday, driven by a sharp increase in digital asset treasury firms, as progress towards ending the Iran conflict led to a boost in risk assets, causing bitcoin to reach a two-month high of $78,000. US President Donald Trump announced that Iran had committed to keeping the Strait of Hormuz open, a crucial passage for global energy markets, and that peace talks between the countries were progressing. The potential unfreezing of $20 billion in Iranian assets and the acquisition of Iran's enriched uranium further improved market 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, leading to a significant increase in 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 climbed to $78,000, breaking out of 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 some companies rising by over 20%. The rally also extended to altcoin-linked equities, with some companies gaining 12%-19%. Other digital asset-related stocks, including Coinbase, Galaxy, and Bullish, also advanced, with the Nasdaq and S&P 500 reaching new record levels.