Investing.com — Bitcoin traded above $64,000 on Sunday, recovering from last week’s dip as investors monitored U.S.-Iran negotiations in Switzerland and signs of continued bullish positioning in crypto derivatives markets.
The world’s largest cryptocurrency was trading up 1.05% at $64,070.6 as of 04:25 ET (08:25 GMT). The recovery came as U.S. and Iranian officials opened talks aimed at securing a permanent ceasefire following last week’s memorandum of understanding between the two countries.
Markets remain focused on developments surrounding the Strait of Hormuz after Iran renewed threats to close the key shipping route despite sending negotiators to Switzerland.
A durable agreement could support risk assets, while renewed disruptions to global energy supplies could pressure cryptocurrencies alongside broader markets.
Despite recent volatility, activity in the options market suggests many traders continue to expect higher prices later this year.
Data from Deribit showed call options outnumbering puts in overall open interest, with one of the most active contracts tied to a $120,000 Bitcoin price target by December 2026.
Options positioning across major exchanges also points to so-called “max pain” levels rising toward $75,000 later this year, indicating expectations for higher prices over the coming months.
Short-term caution remains evident.
Put option trading recently exceeded call volumes, reflecting hedging activity as traders navigate geopolitical uncertainty and shifting macroeconomic expectations.
Open interest in Bitcoin options has declined from last year’s highs, mirroring the broader pullback from six-figure price levels. Even so, the concentration of bullish positions suggests investors continue to anticipate a longer-term recovery.
Corporate adoption remains another source of support for sentiment.
Strategy Executive Chairman Michael Saylor on Friday highlighted the company’s expansion since the 2022 crypto downturn, when Bitcoin briefly fell below $16,000 and concerns mounted over the firm’s leveraged holdings.
Strategy now holds 846,842 Bitcoin after adding more than 716,000 BTC since late 2022 through a series of capital raises used to fund additional purchases.
Saylor said the company’s Bitcoin and cash reserves currently exceed its debt by roughly $48 billion, underscoring the turnaround since the last crypto bear market.
The combination of resilient institutional demand, bullish derivatives positioning, and hopes for progress in U.S.-Iran talks has helped Bitcoin stabilize above $64,000, although traders remain sensitive to geopolitical developments and broader risk sentiment.