Bitcoin and the broader crypto market saw a much-needed bounce on Wednesday as reports indicate the UAE is willing to join the U.S. and allies in forcibly reopening the Strait of Hormuz, pushing for a UN Security Council resolution to authorize it. This could ease fears of prolonged oil supply disruptions from the ongoing Iran war.
The UAE Pushes to Reopen Strait of Hormuz by Force
The UAE is pushing for a United Nations Security Council resolution to authorize the Strait of Hormuz’s reopening. Diplomats are also urging the U.S., European, and Asian allies to form a coalition to use military force, WSJ reported on April 1.
The shift in stance comes amid repeated Iranian attacks, positioning the UAE as the first Gulf nation willing to take a direct combat role. However, experts have warned about a potential increase in attacks from Iran.
As CoinGape reported earlier, Saudi Arabia, the UAE, Kuwait, and Bahrain are privately urging President Trump to continue the Iran war. Gulf countries seek significant changes in the Iranian leadership or a dramatic shift in Iranian behavior.
The Strait of Hormuz closure caused Brent oil prices to rise by over 60%, fueled inflation concerns, and contributed to volatility in global markets, including the crypto market.
Brent Oil Prices amid Middle East Crisis: Source: LSEGPresident Trump Confirms US Exit from Iran War in Coming Weeks
President Donald Trump on Tuesday confirmed that the US will leave Iran in 2 to 3 weeks. Earlier, he told his advisors about the ceasefire and hopes to end the US-Iran war within four to six weeks, even if the Strait of Hormuz remains largely closed.
President Trump will give an Address to the Nation to provide an important update on Iran at 9 PM ET, said White House Press Secretary.
Notably, Iranian President Masoud Pezeshkian claimed that Iran is ready to end the war but wants security guarantees. This triggered a rise in Bitcoin price, the broader crypto market, and global stock markets.
Crypto Market Gains on US-Iran War End Hopes
Bitcoin jumped more than 1% in the past few hours, with BTC price currently trading at $68,223 as the UAE pushes the US to reopen the Strait of Hormuz. The 24-hour low and high are $65,950 and $68,495, respectively.
Trading volume remained increased by another 15% over the past 24 hours. Bitcoin finally closed the month in green after 5 months in red, triggering a rise in sentiment across the crypto market.
Bitcoin Closes March in GreenEthereum, XRP, Solana, and other major crypto assets saw modest gains amid risk-on sentiment due to potential de-escalation or restored oil supply. Traders are awaiting the March Non-Farm Payrolls data due Friday this week for further crypto market rebound.
Source: https://coingape.com/crypto-market-rebounds-uae-ready-join-us-allies-force-open-strait-of-hormuz/
