Bitcoin Struggles Below $65K as Hormuz Hopes Fade and Strategy Offloads BTC

Short-lived optimism evaporated as hopes for a Strait of Hormuz deal faded, leaving crypto markets little changed after an overnight slide, with investors cautiously eyeing macroeconomic triggers.

Hormuz Tensions and Oil Surge Weigh on Market Sentiment

Escalating geopolitical risks continue to weigh on digital assets while driving volatility in commodity markets:

■President Donald Trump's demand for 50 years of compensation from Iran as a negotiation prerequisite has dashed hopes for a near-term resolution.

■Consequently, Brent crude prices surged by over 12% from last week's low to reach $89.08.

Bitcoin and Ether Stuck Below Key Resistance

Leading crypto assets reflect the subdued nature of traditional markets, trading below critical technical thresholds:

■Bitcoin is up 0.26% since midnight UTC to $64,014.33, but remains down 1.68% over the past 24 hours.

■Ether, outperforming bitcoin since midnight, is still 2.4% lower on the day, trading at $1,875.48.

■U.S. equity index futures remain flat as traders focus on Wednesday's CPI report, the week's key catalyst.

Institutional Selling Intensifies Market Pressure

Movements on the institutional side are adding an extra layer of pressure to the market structure:

■Strategy sold a further 1,690 BTC on Monday, marking the fourth consecutive weekly reduction.

■The company has not purchased any bitcoin since June.

Zcash Targets Quantum Readiness

Developments in the sector extend beyond price action, with technological infrastructure evolving:

■Zcash’s Tachyon upgrade aims to scale shielded payments, improve quantum readiness, and test the sustainability of its funding, security, and governance.

On-chain data indicates that Strategy's consistent selling over the past four weeks is creating a noticeable overhang on market liquidity. The absence of buy-side activity since June suggests a shift in institutional accumulation strategies. Simultaneously, the surge in oil prices and the pre-CPI risk-off environment are capping Bitcoin's upside momentum below the $65,000 threshold. We need to see a stabilization in these macro flows to trigger a sustained breakout.