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

A significant surge in crypto-linked stocks occurred on Friday, driven by the rebound of digital asset treasury firms, as the prospect of 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. This development, combined with reports of the US considering unfreezing $20 billion in Iranian assets and acquiring Iran's enriched uranium, further enhanced market sentiment. As a result, crude oil prices dropped 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. He stated that this move has 'uncorked 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 subside. Bitcoin's price 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 biggest winners among crypto-related equities were crypto treasury firms, which had previously been heavily impacted. Companies like American Bitcoin, Strategy, Strive, and ProCap saw significant gains, with some rising by over 20%. Similar trends were observed in altcoin-linked equities, with Ethereum-focused firms like Forum Markets and Solana-linked names like Solmate and Upexi experiencing gains of 12%-19%. Other digital asset-related stocks, including Coinbase, Galaxy, and Bullish, also saw advancements, with the Nasdaq and S&P 500 reaching new record levels.