US President Donald Trump announced that a peace agreement aimed at ending hostilities between the US and Iran is expected to be signed on Sunday. This deal, which includes provisions to reopen the Strait of Hormuz, is anticipated to positively impact global markets, particularly cryptocurrencies that have suffered due to ongoing tensions.
The memorandum is designed to extend the ceasefire for an additional 60 days and is seen as a critical step to alleviate a naval blockade that has restricted 20% of the world's oil and liquefied natural gas supply. Pakistani Prime Minister Shehbaz Sharif, acting as a mediator, expressed optimism that an agreement could be finalized within the next 24 hours, paving the way for electronic signing and subsequent technical discussions.
However, Iranian officials have cast doubt on the timeline, with Foreign Ministry spokesperson Esmaeil Baghaei stating that the signing may not occur as planned. Analysts believe that if the deal proceeds, it could lead to increased investments in cryptocurrencies, reversing recent trends of outflows from Bitcoin exchange-traded funds.