The US dollar remains stable as diplomatic progress between the US and Iran shifts investor sentiment toward riskier assets.
On May 21, Iran began reviewing a US proposal mediated by Pakistan, following months of groundwork through Oman-led talks and an April 8 conditional ceasefire. Iran has presented a 14-point negotiation framework.
President Trump's negotiation style has added volatility to market reactions with each headline.
Bitcoin surged toward $82,000 in early May after reports of a memorandum of understanding. Corrections followed when talks stalled, highlighting crypto's sensitivity to geopolitical news.
Oil fell 6% to $95.28 a barrel as markets priced in potential sanctions relief and increased Iranian crude supply.
In April, US authorities seized nearly $500 million in Iranian-linked digital assets, including Tether, under 'Operation Economic Fury.'
For investors, Bitcoin's rally shows upside from peace optimism, but rapid corrections underscore headline risk. Lower oil prices could ease inflation, giving the Federal Reserve more room to adjust rate policy.