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

A surge in crypto-related stocks took place on Friday, driven by a sharp increase in digital asset treasury firms that had previously been underperforming, as progress towards ending the conflict with Iran led to a rise in risk assets and propelled bitcoin to a two-month high of $78,000. US President Donald Trump stated in a post that Iran had committed to keeping the Strait of Hormuz open, a crucial passage for global energy markets. Trump also mentioned that peace talks between the countries were progressing and that reports of the US considering the unfreezing of $20 billion in Iranian assets, along with the acquisition of Iran's enriched uranium, further boosted market sentiment. As a result of these developments, crude oil prices dropped by 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 the risk-on signal the global markets have been waiting for.' Mena added that by removing one of the most significant geopolitical chokepoints in the world, Iran has effectively uncorked a massive wave of liquidity and investor confidence. With oil prices plummeting below $85 for the first time in a month, inflation fears may finally subside. Bitcoin broke out from a two-month range, climbing to $78,000 and rising nearly 5% over the past 24 hours. This move had a ripple effect across the broader cryptocurrency market, with major altcoins such as ether, Solana, and XRP posting 4%-5% gains. The biggest winners among crypto-related equities were crypto treasury firms, which had been heavily battered 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 rotated back into high-beta bitcoin exposure. Similar moves were seen across 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%. The Nasdaq and S&P 500 were each higher by about 1.4%, both reaching new record levels.