According to the latest news, Iran’s foreign minister announced that, in light of a ceasefire reached between Lebanon and Israel, Iran will fully open the Strait of Hormuz for all commercial ships to pass through. Meanwhile, there are reports that the US and Iran are holding discussions on plans for ending the war.

This news has had an immediate impact on the market:

Market risk appetite increases: The significant reduction in geopolitical risk has greatly boosted global investors’ risk appetite. Funds flowed out of safe-haven assets and into risk assets such as stocks and cryptocurrencies.

Oil prices plunge: As the world’s most important oil transport route, the opening of the Strait of Hormuz led to a sharp drop in international oil prices (WTI crude oil’s decline once exceeded 12%), easing the market’s concerns about inflation and an energy crisis, and further propelling the rise of risk assets.

Cryptocurrency market broadly surges: Against this backdrop, the entire cryptocurrency market saw a violent rebound. Bitcoin surged strongly and broke through the $76,000 mark, while Ethereum also moved to challenge the $2,400 resistance level. This surge higher forced a large number of short-sellers into liquidation; within 24 hours, the total liquidation amount across the whole network exceeded $637 million, with short positions suffering severe losses. $ETH $ETH