Bitcoin woke from its weekend lull with a dramatic surge, climbing to a 12-week high just below $80,000 before a rapid rejection pushed the price down by roughly $2,000 in about an hour.
The most immediate catalyst for the unexpected Monday morning spike was reporting that Iran and the United States may be moving closer to a deal.
A New Deal?
The Kobeissi Letter referenced reporting from Axios indicating that Iran has presented the United States with a new proposal—delivered via Pakistani mediators—aimed at reopening the Strait of Hormuz and ending hostilities. According to the account, the proposal would postpone nuclear negotiations to a later phase as part of a broader agreement.
At the time of writing, US President Donald Trump was expected to convene his senior national security and foreign policy advisors to discuss potential next steps. Earlier, Trump had canceled a planned trip by the US delegation led by Steve Witkoff and Jared Kushner to Pakistan after Iranian counterparts left without holding talks.
The report also suggested that Trump prefers to maintain the US Navy blockade of the Strait of Hormuz—an action that previously undermined peace efforts and prompted Iran to close the strategic waterway.
BREAKING: Iran through Pakistani mediators has given the US a new proposal for reaching a deal on the reopening of the Strait of Hormuz and ending the war, per Axios.
Details include:
1. Nuclear negotiations are postponed for a later stage under the deal
2. President Trump is…
— The Kobeissi Letter (@KobeissiLetter) April 27, 2026
Crypto Market Reaction
Bitcoin reacted with immediate and intense volatility after the news surfaced. Despite weekend developments—including reports of an alleged attempt on President Trump’s life that briefly unsettled markets—BTC had been trading sideways around $78,000.
Once the report circulated, BTC quickly rose to a 12-week peak above $79,500 before buyers were overwhelmed and prices slid to well below the prior level. Most major altcoins mirrored Bitcoin’s volatility, contributing to a significant increase in liquidations. Across the market, daily liquidations reached as much as $275 million, with the majority occurring during the six hours of heightened swings.
Market participants will be watching closely for confirmation of any diplomatic progress between Iran and the US, as such developments can quickly shift risk sentiment and liquidity in crypto markets. For now, the episode underscores how geopolitical headlines can trigger sharp, short-lived moves in Bitcoin and broader digital-asset markets.