Bitcoin jumps 4.2% to $64,667.5

It was on track for its best day since mid-April

Bitcoin climbed more than 4% on Tuesday, helped by U.S. economic data that showed a moderation in consumer inflation and the U.S. president’s scrapping of a planned reimbursement fee for protecting ships crossing the Strait of Hormuz.

The cryptocurrency was last up 4.2% to $64,667.5 by 21:29 GMT. It was on track for its best day since mid-April, building upon a two-week rebound despite institutional demand remaining weak. Spot Bitcoin exchange-traded funds have seen capital outflows in eight of the past nine weeks.

The fall in gas prices was driven by Iran and U.S. signing an interim memorandum of understanding (MoU) in mid-June that led to reopening of the Strait of Hormuz, a vital waterway for a fifth of the world’s oil and gas. Improved shipping activity through the chokepoint eased supply concerns and led to Brent crude futures, the international oil benchmark, slipping more than 20% last month.

Inflation dynamics have rapidly shifted this month, however, amid the biggest escalation in tensions between Tehran and Washington since they inked their MoU.

The two sides have exchanged several rounds of strikes over Iran’s reported attacks on commercial oil tankers transiting the strait, while the U.S. president has reimposed an American blockade in the region. That move led to Brent surging more than 9% alone on Monday.

Apart from the Middle East, top corporate holder Strategy on Monday said it had raised around $466.7 million by selling its class A common stock between July 6 and July 12.

The company also made no Bitcoin purchases during the period, and had last sold 2,225 coins at the beginning of July.