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 significant rally in digital asset treasury firms that had previously been undervalued, as the prospect of an end to the Iran conflict boosted risk assets and sent bitcoin to a two-month high of $78,000. US President Donald Trump announced on Truth Social that Iran had committed to keeping the Strait of Hormuz open, which is crucial for global energy markets. Trump also stated that peace talks between the countries were progressing, and reports of the US potentially unfreezing $20 billion in Iranian assets and acquiring Iran's enriched uranium further improved market sentiment. As a result, crude oil prices dropped 13% to nearly $80 per barrel. According to Matt Mena, a senior crypto research strategist at Digital 21shares, the reopening of the Strait of Hormuz is a risk-on signal that the global markets have been waiting for, and it has effectively uncorked a massive wave of liquidity and investor confidence. With oil prices falling below $85 for the first time in a month, inflation fears may finally subside. Bitcoin climbed to $78,000, breaking out of a two-month range, and major altcoins such as ether, Solana, and XRP saw gains of 4%-5%. The move also had a positive impact on crypto-related equities, with crypto treasury firms being the biggest winners. These companies, which hold digital assets on their balance sheets, had been heavily battered in recent months but saw significant gains, with Trump-family-backed American Bitcoin jumping over 21% and Strategy surging 13%. Other digital asset-related stocks also advanced, with Coinbase rising over 6%, Galaxy gaining 8%, and Bullish rising 4.5%.