Bitcoin ticked up slightly on Wednesday, holding above the $71,000 level as risk assets caught a bid on Middle East de-escalation hopes despite Iran rejecting a proposed U.S. ceasefire. 

The world’s largest cryptocurrency last traded 1.1% higher at $71,129.8 by 18:03 ET (22:03 GMT).

Bitcoin fell below $70,000 earlier in the week, when escalating conflict triggered a broad risk-off move and weighed on digital assets.

Oil prices gained on Tuesday, with losses in the previous session proving to be a brief respite amid a sustained spike sparked by the U.S.-Israel war on Iran.

Brent - the global benchmark - continued to hover above the key $100 a barrel level as the critical Strait of Hormuz remains effectively shuttered by Tehran.

Brent oil futures rose 3.2% to $103.38 a barrel by 15:14 ET (19:14 GMT), while West Texas Intermediate crude futures rose 3.1% to $95.31 a barrel. 

Gold prices on Tuesday gave up gains to trade largely flat, as the yellow metal continues to trade in a tight range amid the ongoing U.S.-Israel war on Iran. Market participants were looking ahead to a host of central bank meetings this week for commentary on the conflict.  

The U.S. dollar strengthened slightly on Tuesday, as oil prices remained elevated after U.S. allies largely rebuffed Washington’s calls for aid in reopening a crucial waterway south of Iran.

By 06:25 ET (10:25 GMT), the U.S. dollar index, which tracks the greenback against a basket of rival currencies, had ticked up by 0.1% to 99.78. The euro was largely steady against the dollar at $1.1511, while the British pound inched higher marginally to $1.3331.