Bitcoin (BTC), ether, and the wider cryptocurrency market rose notably on Tuesday evening after the White House announced that the U.S. and Iran have agreed to a ceasefire.

According to The Block's crypto price page, bitcoin was trading at around $71,695 as of 9:05 p.m. on Tuesday ET, up 4.3% in the past 24 hours. The cryptocurrency briefly rose above $72,700 earlier in the day, marking its highest point since March 18.

Ethereum posted a 6% gain on the same day, trading at $2,238. XRP rose 3.5% to $1.37, and Solana added 6.5% to $84.81. The entire crypto market was up 3.95% in the past day, according to The Block's price data.

The price surge coincided with President Donald Trump's announcement that the U.S. and Iran have agreed to a "double-sided ceasefire" for two weeks. Trump previously warned that there would be a "complete demolition" of Iran's power plants and bridges if Iran does not reopen the Strait of Hormuz by Tuesday.

"The reason for [ceasefire] is that we have already met and exceeded all military objectives, and are very far along with a definitive agreement concerning long-term peace with Iran," Trump wrote in a statement. "We received a 10-point proposal from Iran, and believe it is a workable basis on which to negotiate."

Trump also shared the official statement from Iran, which said it will allow a safe passage through the Strait of Hormuz. The closure of the world's most critical oil gateway had caused extreme volatility in crude oil prices as well as global supply chain disruptions.

Long-term?

A potential resolution to the U.S.-Iran conflict has lifted the market sentiment, LVRG Director Nick Ruck told The Block.

"President Trump's announcement of a two-week pause in strikes on Iran eased geopolitical tensions and triggered a sharp relief rally across risk assets as markets priced in lower oil prices and restored global risk-on sentiment," said Ruck.

However, analysts said a two-week ceasefire is not enough to extend the current rally into a long-term bull cycle.

"Lingering roadblocks such as unresolved implementation of the truce, potential renewed escalations, or broader macroeconomic pressures could still limit further upside if risk sentiment reverses," Ruck added.

Zeus Research Analyst Dominick John said the current rally is a "short-term liquidity impulse" that requires persistent liquidity expansion, rate cuts, and structural ETF inflows to translate into a sustained bull run.

"Crypto upside remains capped by rate pressures and potential geopolitical flare-ups that trigger risk-off flows," John told The Block. "Sustained gains will hinge on persistent liquidity, stable macro conditions, and structural capital inflows aligning to fuel the next wave."