Bitcoin once approached the $80,000 mark to hit a 12-week high as tensions between the US and Iran danced with institutional buying.

On Monday, Bitcoin continued to slowly climb towards $80,000, with investors assessing the latest developments in the standoff between the US and Iran over the Strait of Hormuz. The original cryptocurrency briefly rose by 1.6%, reaching $79,488, its highest level since January 31 (the last time it was above $80,000). At the time of writing, its trading price is around $77,613. The second-largest digital asset, Ethereum, saw a gain of up to 1.7%. Asian stock markets rose on Monday following reports that Iran had put forward a new proposal to the US to reopen the Strait of Hormuz. The closure of this key trade route had caused fluctuations in crude oil and risk assets during times of war with the US and Israel. Oil prices on the day also gave back earlier gains. Rachel Lucas, an analyst at BTC Markets, said, "The risks are real. The probability of a US-Iran peace agreement has significantly decreased, and this macro-level pressure could trigger a comprehensive reassessment of risk assets." She added, "The $80,000 mark is the breakeven point for many recent buyers, and selling pressure is likely to emerge as they close out their positions." In recent trading days, Bitcoin has gradually rebounded towards $80,000 as traders cover short positions and institutional demand improves. The token has risen by 16% since April, poised to achieve its first double-digit monthly gain since May 2025. According to data from market compiler companies, the Bitcoin holding institution led by Michael Saylor, MicroStrategy Inc. (MSTR.US), has bought tokens worth $3.9 billion so far this month, marking the highest monthly amount in a year. Demand for physically-backed Bitcoin ETFs listed in the US has significantly increased this month. Net inflows in April have reached around $2.5 billion, likely to double compared to the total amount in March. Institutional buyers have returned to these funds in March after four consecutive months of net outflows.