Bitcoin’s price jumped nearly 3% to $78,700 on May 1, buoyed by news that Iran presented a fresh peace proposal to the United States through Pakistani intermediaries. This development helped ease fears over oil supply disruptions, lifting overall market sentiment. According to CNBC, Iran’s updated offer, delivered via mediators in Pakistan, marks another step in long-running negotiations covering ceasefire terms, sanctions relief, and the Strait of Hormuz. Oil prices dipped modestly on the news, reducing one of the key macroeconomic pressures that had dragged on cryptocurrencies and equities throughout the week.
The climb from a multi-week low of $74,900 on April 29—when President Trump received a military briefing on new Iran strike options—to $78,700 on May 1 essentially erased the losses from the post-FOMC selloff. This pattern mirrors earlier recoveries during the conflict, where each credible diplomatic signal triggered a rapid BTC repricing. 21Shares chief market strategist Adrian Fritz noted that $80,000 represents a significant resistance level. He remarked that a strong break above that threshold could generate fresh momentum, especially as recent buyers return to profitability. Fritz added that moving past $85,000 might indicate the start of a broader reversal.
Previously, Bitcoin had touched $78,400 the prior week but was sharply rejected when hostilities flared up again, establishing a consistent pattern: every promising diplomatic move leads to a quick BTC rally, and any setback reverses it within hours. Hopes of a comprehensive US-Iran deal have consistently fueled bets on Bitcoin retesting $80,000, provided ETF inflows resume and oil prices retreat toward pre-war levels. The $80,000 mark has now been tested twice in 2026 without a decisive breakout. A confirmed move above that level, supported by sustained ETF inflows and stable oil prices, would be the clearest indication that the Iran-driven macro overhang on Bitcoin has materially diminished.