The price of Bitcoin rose to $79.5 thousand, reaching a new three-month high. Investor optimism is associated with the de-escalation of the conflict in the Middle East, as well as with expectations of a soft US monetary policy after the Senate approves the candidacy of Kevin Warsh for the post of head of the Federal Reserve. However, the growth in value of other digital currencies lags significantly behind Bitcoin.
On May 4, the price of bitcoin updated three-month highs and, according to Investing.com, exceeded $80 thousand for the first time since January 31. At the same time, the price of bitcoin failed to stay above $80 thousand by the end of the day, and by the evening (around 18:00 Moscow time) it was already about $79.5 thousand.
“Signals of a reduction in tensions around the Strait of Hormuz, including the US operation to remove ships stuck there, combined with expectations of increased oil supply from the UAE and OPEC+ are forming steady pressure on oil prices. This lowers inflation expectations and indirectly improves conditions for risky assets,” said Ryan Lee, lead analyst at Bitget Research. Since early April, when a temporary ceasefire agreement between the United States and Iran came into force, the value of Bitcoin has increased by 16%.
Spot Bitcoin ETF holdings totaled nearly $2 billion, its best monthly performance in 2026, according to SoSoValue. And since the beginning of May, according to Coinglass.com, inflows from ETFs have already exceeded $600 million.
Investors are also expecting a softer policy from the US Federal Reserve System (FRS), after the Banking Committee approved the candidacy of Kevin Warsh for the post of head of the regulator on April 29. Investors believe that Mr. Warsh has softer views on monetary policy, which gives them hope that he will advocate for a faster reduction in the key rate, experts say. The current Fed chairman’s term expires on May 15. “Kevin Warsh has previously been positive about Bitcoin, and while an actual rate cut in June is unlikely, the change in leadership is supporting the risk asset segment,” Mr. Lee points out.
At the same time, the crypto market situation still remains weak: at the beginning of 2026, it was experiencing the consequences of one of the largest collapses in history: from January to April, the cost of the leading cryptocurrency was at its lowest since 2024.
Other digital currencies have not grown as significantly: Ethereum has risen in price by only 8% since April, and Solana by 5%. This is due to the fact that most investors perceive Bitcoin as “the most stable and stable asset,” notes Technobit CEO Alexander Peresichan. According to Mikhail Smirnov, director of communications for the EXMO cryptocurrency exchange, initially institutional investments were focused specifically on Bitcoin as a macro asset, and not on the entire cryptocurrency. Therefore, although the number of assets has increased many times, their liquidity remains low, and Bitcoin, according to Coingecko, still occupies about 60% of the entire market. “For the full growth of altcoins, a stronger movement of Bitcoin itself is required, which will attract speculative capital and provide an influx of liquidity,” notes Alexander Kraiko, leading analyst at crypto broker Cifra Markets.
According to market participants, there is no point in expecting a strong rise in the price of Bitcoin in the near future, as inflation and geopolitical risks are still high. Investment inflows can begin only after the Fed cuts the Fed rate, believes Mikhail Smirnov. However, if the smooth movement of ships through the Strait of Hormuz can be realized and investment inflows into ETFs continue, investors can hope that in May the price of Bitcoin will consolidate above $80 thousand or even “continue a cautious upward movement,” says Alexander Peresichan.
