Hormuz Situation Improves; Bitcoin Begins to Rally
Bitcoin posted a modest gain on Wednesday (August 5), trading around US$64,366—up approximately 0.6%—within a daily range of US$63,859 to US$64,653. While this rise signals a recovery, price movement remains tight, and the asset has yet to break out of its consolidation phase.
Market sentiment improved following hopes that Iran and Oman are nearing an agreement to reopen the Strait of Hormuz. However, the deal remains unfinalized due to lingering disagreements regarding vessel control, inspections, and transit fees. This uncertainty has limited the geopolitical support for risk assets, including Bitcoin.
Additional support stems from institutional capital flows. Spot Bitcoin ETFs reportedly recorded inflows of approximately US$381.6 million in August, following US$172.4 million in inflows in July. Despite this improvement, the figures are not yet strong enough to offset the significant selling pressure experienced during May and June.
Fundamental pressure arose from Strategy; according to official SEC filings, the company sold 1,638 Bitcoin—valued at US$104.73 million—between July 27 and August 2 at an average price of US$63,957. Strategy’s holdings have now dropped to 842,138 Bitcoin, with an average purchase price of US$75,419 per coin.
Sentiment regarding crypto security has also yet to fully recover. Coinkite confirmed a vulnerability in the seed generation process across several COLDCARD firmware versions, urging users to update their devices, generate new seeds, and transfer funds away from affected seeds. In the altcoin market, prices stood at approximately US$1,624.95 for Ethereum, US$1.059 for XRP, US$77.97 for Solana, US$0.1894 for Cardano, US$599.83 for BNB, and US$0.0697 for Dogecoin.
Newsmaker Analysis: Bitcoin remains in a consolidation phase, with immediate resistance at the US$64,650–US$65,000 level. A strong breakout above US$65,000 could pave the way for a rise toward US$66,000–US$67,000. Conversely, a failure to hold above US$63,850 could see the price retest the US$63,000 level, followed by US$62,000. While ETF inflows and diplomatic progress provide support, selling activity, security risks, and the lack of a finalized Hormuz agreement continue to cap the rally. (arl)
Source: Newsmaker.id
