Neither the US nor Iran launched strikes for a second consecutive day, according to reports on Sunday, amid hopes of renewed diplomacy. The pause comes after two weeks of nightly attacks by the US and Iranian retaliation on US allies in the Gulf.

U.S. Ambassador Hints at Diplomatic Opening

US Ambassador to the United Nations Mike Waltz told Fox News on Sunday that President Donald Trump was “giving [the potential for] talks … a little bit of room.” While noting that the president has said the US was “locked and loaded,” Waltz said negotiators have been engaged at every level over the past few weeks, and in particular, over the past few days.

According to CBS, the US decision to pause the bombing was made due to the arrival of an Omani delegation in Tehran. The delegation is reportedly working to facilitate dialogue between the US and Iran.

Iranian Officials Cautious About Peace Talks

Iranian Ministry of Foreign Affairs spokesperson Esmaeil Baghaei told the Austrian broadcaster ORF on Sunday that mediators, including Qatar and Pakistan, are exchanging messages between Iran and the US. However, he added that Iran’s past efforts at diplomacy have been “betrayed.”

Since the US and Israel began their war on Iran in late February, Iranian officials have been quick to note that they have been attacked by the US and Israel during periods of negotiation on several previous occasions. This has made peace talks difficult, with lingering mistrust on both sides.

Market Moves Reflect Geopolitical Uncertainty

Meanwhile, a mysterious crypto wallet linked to Trump’s inner circle has opened $109 million in short positions on Bitcoin and Ethereum. The trader is short 1,000 BTC worth $67 million and 20,000 ETH worth $41.2 million. The wallet has a reported 100% win rate and has previously predicted major geopolitical events, including the Iran conflict and Trump’s tariffs on Chinese imports.

This wallet is suspected of being connected to Trump’s son, with some in the crypto community suggesting it has a direct line to the Trump administration. The trader’s latest move comes amid speculation that new US strikes on Iran are imminent, targeting infrastructure such as bridges and power plants.