Investing.com-- Bitcoin edged higher on Wednesday, extending a mild recovery amid growing hopes that a deal to reopen the Strait of Hormuz was close.
But the world’s largest currency remained pinned within a tight trading range, as cryptocurrency markets grappled with a recent high-profile hack and more sales by top corporate Bitcoin holder Strategy.
Bitcoin rose 0.9% to $64,300.6 by 09:05 ET (13:05 GMT).
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U.S. aims to announce Hormuz deal by Wednesday
The U.S. is in negotiations with Oman and Iran to announce a deal to reopen the Strait of Hormuz by as soon as Wednesday, Axios reported on Tuesday evening.
But separate Iranian media reports showed Tehran warning that a deal could be delayed over continued U.S. threats in the region.
Several U.S. officials asserted that a deal was close this week, with U.S. President Donald Trump stating in a Tuesday interview that a deal over Hormuz was “imminent.”
Iran has largely rejected claims that it is directly negotiating with the U.S., and said it was in contact with mediators in Oman.
Still, optimism over a potential deal to reopen the key waterway sparked deep losses in oil prices, while also sparking risk-on moves in markets.
But crypto took fleeting support from this trend, with investors seen favoring artificial intelligence stocks with clearer fundamentals over speculative plays.
Appetite for tech stocks was also furthered by some strong earnings from the sector over the past week, while deep July losses in the sector drew in bargain buyers.
Bitcoin ETF inflows improve in August after positive July
Spot Bitcoin exchange-traded funds saw improving capital inflows in August after logging some inflows in July, which were preceded by two months of heavy outflows.
Bitcoin ETFs logged total inflows of $381.6 million so far in August, after $172.4 million inflows in July.
Sentiment towards crypto was seen improving marginally amid a broader uptick in risk appetite. But the sector was still nursing deep losses so far in 2026, with Bitcoin remaining about 50% off an October record high.
Circle falls after Q2 earnings
Circle fell over 3% in premarket trading Wednesday after the company reported higher second-quarter revenue, driven by expanding use of its USDC stablecoin among businesses and institutions beyond crypto trading. The stock initially rose on the results before reversing course.
USDC circulation rose 19% to $73.3 billion, while onchain transaction volume jumped 151% year-over-year. The reserve return rate — the yield generated by the cash and short-term Treasuries backing USDC — fell 66 basis points to 3.5%.
Revenue and reserve income rose 7% year-over-year to $701.3 million for the quarter ended June 30. Circle reported net income of $0.18 per share attributable to common shareholders, ahead of the $0.17 analysts had expected, according to LSEG-compiled data.
Crypto price today: altcoins mixed as Bitcoin dithers
Broader crypto prices moved in a flat-to-low range, taking little support from a rangebound Bitcoin.
World no.2 crypto Ether rose 0.7% to $1,875.57, while XRP fell 0.8%.
Solana rose 0.6%, while Cardano added 0.8%. BNB added 1.8%.
Memecoin DOGE and $TRUMP edged slightly lower.
Vahid Karaahmetovic contributed to this report.
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