Bitcoin holds above the $71,000 level

The world’s largest cryptocurrency last traded 1.1% higher at $71,129.8

Bitcoin ticked up slightly on Wednesday, holding above the $71,000 level as risk assets caught a bid on Middle East de-escalation hopes despite Iran rejecting a proposed U.S. ceasefire.

The world’s largest cryptocurrency last traded 1.1% higher at $71,129.8 by 22:03 GMT.

Bitcoin dropped below $70,000 earlier in the week, when escalating war triggered a broad risk-off move and weighed on digital assets.

The Fars News Agency on Wednesday morning reported that Iran does not accept the ceasefire. Fars added that Iran wanted a full end to the war, not just a ceasefire.

Later, Iran’s Press TV said the country would not allow the U.S. to dictate the timing of the end of the war, citing a senior political official. The state-owned agency said the official outlined five demands from Tehran’s side, including an end to all attacks and international recognition and guarantees on Iran’s right to exercise authority over the Strait of Hormuz.

Bitcoin has increasingly moved in tandem with global risk sentiment, reacting to shifts in geopolitical tensions and energy markets. Earlier losses coincided with a spike in oil prices. Despite the volatile backdrop, Bitcoin has shown resilience around the $70,000 threshold. Analysts pointed to continued institutional interest and improving liquidity conditions as factors supporting prices.

Meanwhile, Britain will limit the amount overseas donors can contribute to political parties and ban cryptocurrency donations, following an independent review into foreign financial influence in politics.

Reform UK had previously said it would accept donations in bitcoin, becoming the first British party to do so. At least two-thirds of its funding last year came from overseas donors.

Under the new measures, the government will cap donations from Britons living abroad at £100,000 per year and introduce a moratorium on crypto contributions until a regulatory framework is in place.