Bitcoin fell below the $78,000 level on Thursday as investors balanced ongoing geopolitical risks in the Strait of Hormuz against a U.S.-Iran ceasefire extension.
The world’s largest cryptocurrency last traded 0.47 percent lower at $77,842, while Ether was down 2.20 percent at $2,336.75.
Earlier in the week, Bitcoin had briefly climbed past $79,000, its highest level since early February, before easing slightly.
Mideast uncertainty persists
On Tuesday, Trump extended the ceasefire with Iran, pulling back from plans for renewed military action. However, uncertainty persists, as Tehran has not officially agreed to the extension and has criticized the continued U.S. naval blockade affecting its trade routes.
On Wednesday, Iran’s Revolutionary Guard seized two container ships in the Strait of Hormuz and reportedly fired on three vessels, further escalating tensions around the strategic energy corridor.
The standoff has kept global energy markets on edge, with oil prices remaining above $100 per barrel. Asian equities and U.S. stock futures fell in early trading on Thursday.
Read: Bitcoin climbs toward $78,000 on Strategy’s $2.5 billion buy, surging institutional demand
Institutional buying supports crypto market
In contrast, cryptocurrencies showed relative resilience, supported by fresh institutional buying as Strategy Inc continued its aggressive accumulation of crypto assets, revealing another multi-billion-dollar purchase this week.
Most cryptocurrencies tracked Bitcoin lower on Thursday as rising oil prices dampened overall risk appetite. XRP dropped 2.54 percent to $1.4166.
Cardano lost 3 percent, while both Polygon and Solana were down about 2 percent.
Among meme coins, Dogecoin edged lower by 1.5 percent.
