Bitcoin climbs 4.5% to $70,947.6

The world’s largest cryptocurrency was trading in the red earlier

Bitcoin rose on Monday, as risk assets received a major boost on Middle East de-escalation hopes.

The U.S. president touted “productive” talks with Iran and said the U.S. would postpone all strikes on Iranian energy infrastructure for five days.

At 21:38 GMT, Bitcoin climbed 4.5% to $70,947.6. The world’s largest cryptocurrency was trading in the red earlier.

However, Iran’s Fars news agency, citing a source, said there are no direct or indirect communications with the U.S. The report also said the U.S. decision to delay strikes on Iranian power plants followed a warning from Iran that it would target energy infrastructure across West Asia in response.

Bitcoin performed relatively better than gold and other precious metals this month since the start of the war, with bullion seeing limited bids despite heightened global geopolitical tensions.

Bitcoin was trading up nearly 6% so far in March, while spot gold was down nearly 17%.

The yellow metal was slammed with a wave of profit-taking after it hit a record high in late-January, while a broader unwinding in long positions also weighed.

Gold saw limited bids even with the onset of the Iran war, as safe haven for the yellow metal was largely overshadowed by fears of higher global inflation and interest rates.

Bitcoin, on the other hand, benefited from some improving U.S. regulatory developments in the past month. Bargain buyers also stepped in last month after Bitcoin wiped out as much as 50% from an October record high.

Bitcoin still lags gold in YTD performance, with gold up nearly 2% versus a 19% decline for the crypto.