US-Iran Talks in Pakistan: A Critical Moment for Global Markets

The arrival of US and Iranian technical delegations in Pakistan marks a critical moment in efforts to resolve the Middle East crisis. The negotiations come as oil prices remain high due to tensions over the Strait of Hormuz, a key shipping route that handles around 20% of global oil flows.

According to research from the Council on Foreign Relations, even temporary disruptions to traffic through the strait can have far-reaching consequences for energy prices and investor sentiment. Energy data firm Kpler has noted that the US-Iran confrontation over Hormuz is 'reshaping global oil markets', with curtailed southern Iraqi production and pre-emptive surges in Iranian exports contributing to higher prices.

Bitcoin, meanwhile, has traded through this macro uncertainty with a mix of stress and resilience. The cryptocurrency has reclaimed the $72,000-$73,000 band in recent sessions, but has also endured repeated liquidation clusters, including one 24-hour stretch with around $342 million in liquidations.