Bitcoin surged past $87,000 after Trump described his meeting with Iranian officials at the UN General Assembly as productive, fueling a broader crypto rally. Falling oil prices and rising Bitcoin futures activity reinforced the bullish mood, while traders awaited a Fed speech for inflation cues.
Bitcoin climbed above $87,000 on Wednesday as traders reacted to Trump's confirmation of a productive meeting with Iran's officials on the sidelines of the UN General Assembly. Falling oil prices, spot Bitcoin ETF inflows, and derivatives interest bolstered positive sentiment across the broader crypto market.
Trump Confirms Talks With Iranian Officials
Trump said U.S. envoys Steve Witkoff and Jared Kushner held a three-hour meeting with Iranian representatives, including Foreign Minister Abbas Araghchi. Trump said there was "a lot of momentum" toward a deal and framed Iran's choice as one between rebuilding or facing severe consequences.
Iranian media reported that Iran re-presented conditions including lifting the U.S. naval blockade, unfreezing assets, and ending the war on multiple fronts. Iran had also proposed reopening the Strait of Hormuz within seven days if the U.S. took initial steps to ease tensions, including military operations. President Masoud Pezeshkian was set to attend Wednesday's meeting.
Representatives of other countries, including EU Vice President Kaja Kallas and Switzerland Vice President Ignazio Cassis, also spoke with Araghchi about ending the war and fully reopening the Strait of Hormuz.
Bitcoin Extends Its Weekly Rally
Markets treated the news as a de-escalation signal. Bitcoin rose another 1% to reclaim $87,000. The rally has now extended to almost 8% over the past week. Ethereum, XRP, Solana, and Zcash also participated in the rebound.
The move followed earlier momentum from Trump's proposed $5 billion Gulf reconstruction fund for energy infrastructure damaged in the war. Oil prices dropped to $89 per barrel for a sixth straight day as Saudi Arabia planned to restore flows through its East-West pipeline.
Bitcoin was trading around $87,200, with an intraday high of $87,251. Trading volume had dropped 32% as traders awaited a Fed speech for inflation cues.
Futures open interest climbed more than 1% to $61.40 billion over 24 hours, according to Coinglass data. It also jumped more than 5% on CME and 6% on Hyperliquid, but dropped almost 2% on Binance.
Source: CoinGape
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