Bitcoin ticked higher on Thursday as market participants reacted to two strands of optimism: the prospect of a deal to reopen the Strait of Hormuz and a pickup in flows into spot Bitcoin exchange-traded funds. The combined effect helped the largest cryptocurrency post gains, even as sentiment across the broader digital-assets complex stayed muted following steep earlier losses and a shifting appetite toward other risk assets.
By 02:18 ET (06:18 GMT) Bitcoin was up 0.8% at $64,739.1. The price move came against a backdrop in which BTC has largely traded in a narrow range around $60,000 since the onset of the U.S.-Israel war on Iran in late-February, and remains nearly 50% below its October record high.
Geopolitics and oil flows
Investor focus this week centered on reports that Iran indicated it was close to clinching an agreement with Oman to reopen the Strait of Hormuz. U.S. President Donald Trump said talks with Iran were going well, although Tehran largely denied that any direct negotiations with the U.S. had taken place.
The possibility of reopening the vital shipping lane depressed oil prices, and traders interpreted that as reducing the risk of an energy-driven spike in inflation. While physical crude shipments have little direct effect on Bitcoin’s fundamentals, the improvement in energy-supply sentiment can lift appetite for speculative assets and support riskier markets such as cryptocurrencies.
ETF flows and capital movement
Flows into spot Bitcoin exchange-traded funds accelerated in early August, a development that market participants cited as another factor underpinning the recent uptick in BTC. SoSoValue data showed spot Bitcoin ETFs recorded inflows of $626.0 million so far in August, up sharply from $172.4 million in July.
Observers cautioned that it remained unclear whether the stronger flows would persist. The sector experienced large reversals in the spring, when Bitcoin ETFs suffered nearly $7 billion in outflows across May and June.
Crypto market breadth and corporate earnings
Across other major tokens the picture was mixed. Ether rose 2.2% to $1,912.90, while XRP declined 1.5% to $1.0506. Solana was flat. Cardano slid 2.8% and BNB fell 0.8%.
Among memecoins, Dogecoin was unchanged and $TRUMP slipped 0.9%.
Sector earnings remained a drag on sentiment. Corporate results have been tepid in many cases, with Strategy and Coinbase posting disappointing prints last week. Circle also moved lower overnight after reporting second-quarter revenue that missed expectations.
In aggregate, recent developments illustrate a market environment where external macro and geopolitical signals - notably around energy flows - and renewed ETF demand are contributing to short-term moves in Bitcoin, while broader crypto price action and corporate performance keep sentiment cautious.