Bitcoin Surges to Two-Week High as Peace Deal, Institutions, and Congress Converge

Bitcoin opened at $66,287 on Tuesday, its strongest level in roughly two weeks, as geopolitical relief drove a broad crypto rally. Both BTC and Ethereum posted their best opening prices in about a fortnight after news broke that the U.S. and Iran are making meaningful progress toward a permanent peace deal that would reopen the Strait of Hormuz. Ethereum opened at $1,794.94, up 4.1% from Monday, reflecting risk-on sentiment across digital assets. The US-Iran conflict had previously driven Bitcoin down to a low of $59,130, but a signing ceremony is now set for June 19 in Switzerland, and President Trump authorized reopening the Strait of Hormuz as oil prices fell sharply on the news.

Institutional demand has returned alongside the geopolitical thaw. Strategy added 1,587 BTC for $100M, spot Bitcoin ETF inflows turned positive at $85.8M on June 13, and whales pulled over 11,000 BTC off exchanges, marking a clear shift from the heavy selling of late May. All eyes are now on the Federal Reserve, whose two-day FOMC meeting opened today under new Fed Chair Kevin Warsh, with a policy decision expected Wednesday. No rate change is anticipated, but markets are closely watching for any shift in the Fed's policy bias that could reset Bitcoin's trajectory for the rest of 2026.

Congress Moves on Crypto Market Structure and Tax Reform

On Capitol Hill, the CLARITY Act cleared the Senate Banking Committee in May by a vote of 15-9, with all 13 Republicans joined by two Democrats. Those two Democrats signaled their committee votes did not guarantee floor support without further progress on an ethics provision addressing government officials' ties to the crypto industry. On June 1, the bill was placed on the Senate Legislative Calendar under General Orders, making it formally eligible for full Senate floor consideration, though it must still be reconciled with the Senate Agriculture Committee's competing version.

Seven additional bill proposals are circulating from the House Ways and Means Committee that would tackle how to tax stablecoins, staking, and mining, and would decrease tax burdens on certain transactions. Together, the market structure and tax bills represent the most sweeping congressional push yet to bring regulatory certainty to digital assets. Passage before the November midterms, which could reshape the balance of power in Washington, remains the central deadline driving urgency on both fronts.