Oil markets softened after a group of major economies announced coordinated measures to stabilize global energy supply, providing a tailwind for crypto prices.
Bitcoin led the gains, climbing to $70,800—up over 1% on the day—after rebounding from lows below $68,900. In contrast, Ethereum, XRP, and Solana posted more modest increases of under 1%, lagging behind bitcoin’s move.
Crude prices declined, with West Texas Intermediate crude falling nearly 2% to $93.80 and Brent crude recording similar losses. The drop followed a joint commitment from the U.K., France, Germany, Italy, the Netherlands, and Japan to work together on stabilizing energy markets and ensuring secure transit through the Strait of Hormuz.
In a statement issued by the office of Keir Starmer, leaders criticized recent attacks attributed to Iran and called for an immediate halt to escalating tensions. Meanwhile, U.S. Treasury Secretary Scott Bessent signaled that the U.S. could consider easing sanctions on Iranian oil shipments and potentially releasing crude from its Strategic Petroleum Reserve.
Earlier this week, the Federal Reserve highlighted growing uncertainty around the outlook for economic growth and inflation, prompting markets to reduce expectations for rate cuts. As a result, both crypto and traditional risk assets have become more sensitive to swings in oil prices.
Despite the recent pullback, uncertainty remains elevated due to ongoing geopolitical tensions in the Middle East. WTI continues to hover near key support around $92, still well above pre-conflict levels. Analysts at Mott Capital Management noted that oil is holding a critical technical level aligned with prior highs and short-term trends, suggesting prices could retain an upward bias if support holds. Options market positioning, they added, points to the possibility of further upside.
At the same time, equity markets are showing signs of weakness. The S&P 500 recently fell below its 200-day simple moving average for the first time since May last year, indicating a shift in momentum. A sustained increase in risk aversion in equities could weigh on crypto and broader financial markets.
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