Bitcoin rises as tensions over Iran ease

Bitcoin returned to positive territory on Friday as investor risk appetite improved following signs that tensions between the United States and Iran could be easing.

The rebound came after traders reacted to indications that Washington and Tehran may be moving toward de-escalation, following President Donald Trump's decision to cancel planned strikes against Iran and his statement that an agreement could be reached soon.

Oil prices retreated after the developments, with Brent crude falling toward the mid-$80-per-barrel range, easing concerns that elevated energy prices could prolong inflationary pressures.

This is particularly important for the cryptocurrency market because inflation driven by higher oil prices could encourage the Federal Reserve to maintain a restrictive monetary policy stance. Reduced geopolitical tensions also tend to ease pressure on higher-risk assets, including Bitcoin and major cryptocurrencies.

Bitcoin and major cryptocurrencies advance

Bitcoin was trading at $63,500 as of 13:34 GMT, up 1.2%, according to data from CoinMarketCap.

Ethereum traded near $1,671, gaining about 0.97% over the past 24 hours while holding support around the $1,650 level despite a weak week for spot Ethereum exchange-traded funds.

BNB was trading near $605, while Solana hovered around $66.69 after posting daily gains of 1.95%. XRP also climbed to approximately $1.14, up 3% on the day.

Dogecoin rose to around $0.086, while Hyperliquid advanced to roughly $59.17 and ranked among the strongest-performing major cryptocurrencies, despite remaining weaker on a weekly basis.

By contrast, TRON was the weakest performer among the major cryptocurrencies mentioned, trading near $0.312, down 2.86% over the past 24 hours and 3.79% over the last seven days.

The broad-based rebound reflects a reduction in risk-off positioning among traders. However, the move remains in its early stages and has yet to recover the losses suffered during June's market downturn.

ETF outflows continue to weigh on sentiment

Spot Bitcoin exchange-traded funds recorded net outflows of $19.03 million on June 11, according to data from SoSoValue, marking a fifth consecutive day of withdrawals and highlighting continued caution among institutional investors.

Spot Ethereum ETFs also recorded net outflows of $15.89 million on the same day, extending their streak of withdrawals to three consecutive sessions.

The cryptocurrency market selloff in June was driven by a combination of factors, including the Federal Reserve's hawkish stance, escalating tensions with Iran, continued ETF outflows, and a wave of liquidations in leveraged positions.

Strong investor interest in the upcoming SpaceX IPO also absorbed part of the speculative liquidity in financial markets. While it was not the sole reason behind the decline, it contributed to weakening demand across the cryptocurrency sector.

As a result, Bitcoin's current recovery continues to face pressure from ongoing ETF outflows. If positive fund flows return, the rebound could gain stronger momentum. However, if withdrawals persist, the rally may struggle to break through the next major resistance levels.