Bitcoin and U.S. equity futures rallied Tuesday evening as oil prices plunged, after Donald Trump confirmed a two-week ceasefire between the U.S. and Iran in a Truth Social post.

The world’s largest cryptocurrency climbed 5% over the past 24 hours, reaching an intraday high of $72,699. Broader digital assets moved higher alongside it, with the CoinDesk 20 Index advancing 5% to 2,034. In traditional markets, futures linked to the S&P 500 rose 1.9%, while Nasdaq Composite futures gained 2.2%. Dow Jones Industrial Average futures added roughly 1.8%.

Crude markets, however, moved sharply lower. West Texas Intermediate fell more than 10% to $95 per barrel, with Brent Crude registering similar losses, as easing geopolitical tensions reduced immediate supply concerns.

The risk-on sentiment followed Washington’s decision to suspend a planned large-scale military campaign against Iran for two weeks. Trump indicated the pause reflected progress in achieving military objectives and ongoing discussions toward a longer-term peace arrangement in the region.

Iran acknowledged the ceasefire, stating it would halt defensive operations if attacks stopped. It also said oil tankers could resume transit through the Strait of Hormuz during the truce, though subject to coordination with its military and certain technical constraints.

According to Javier Blas, while details around the Strait’s reopening remain somewhat unclear, the agreement effectively restores the flow of oil and LNG in the short term.

For weeks, geopolitical uncertainty tied to the Iran conflict had weighed on risk assets. Bitcoin traded within a choppy range, with its upside capped by rising oil prices and inflation concerns, prompting traders to build bearish positions in derivatives markets.

The latest upswing has triggered widespread liquidations across crypto futures, with nearly $600 million in leveraged positions wiped out. More than $400 million of those were short positions, highlighting a strong short squeeze that has accelerated upward momentum as traders rushed to cover losses.