Bitcoin's Price is More Determined by the Federal Reserve

Bitcoin's Price is More Determined by the Federal Reserve and Capital Flows

Analysts believe that what truly drives Bitcoin's further strength is not just the easing of geopolitical tensions, but rather whether the subsequent macroeconomic chain improves. If the reopening of the Strait of Hormuz leads to a decline in oil prices, thereby alleviating inflationary pressures and improving market perceptions of the Federal Reserve's policy path, Bitcoin could gain more sustained support.

Meanwhile, ETF capital flows and overall risk appetite remain more direct pricing factors. In other words, this agreement primarily brings "easement," not a "complete resolution." Therefore, the market has only factored in a short-term reduction in risk, failing to completely remove the war premium from Bitcoin's price at once.