Bitcoin broke past $66,500 on Monday, extending its recent rally as oil prices cratered following a claim by Donald Trump that shipping through the Strait of Hormuz had resumed more freely. The former president's post on Truth Social triggered a sharp selloff in crude markets, with traders pricing in eased supply fears. The move reinforced a pattern of crypto acting as an alternative macro asset during geopolitical swings.
The Strait of Hormuz factor
Trump's Monday morning post claimed maritime traffic through the Strait of Hormuz — a chokepoint for about a fifth of global oil — had resumed more freely. The statement came without immediate independent confirmation from shipping trackers or Gulf authorities. But oil markets reacted instantly: prices fell drastically within hours, wiping out gains from earlier in the month.
The strait has been a flashpoint since early 2026, with Iran and the US trading threats over passage rights. Any sign of de-escalation tends to hit crude hard. Trump, who is not currently in office but remains a major political voice, has frequently weighed in on energy markets via social media.
Bitcoin's Monday breakout
Bitcoin's surge to $66,500 happened in tandem with the oil slide. The cryptocurrency had been trading in a tight range near $64,000 for most of the prior week. Monday's move pushed it past a key psychological level, though trading volumes were only moderately above average.
The correlation between Bitcoin and oil is not fixed. Sometimes they move together on risk appetite; other times Bitcoin benefits when traditional commodities wobble. Monday seemed to be the latter scenario — a flight out of crude into assets seen as less tied to Middle East supply lines.
No major exchange reported unusual outages or order-book imbalances during the surge. The move was broad-based across spot and derivatives markets.
A fragile link
Whether Bitcoin can hold above $66,500 depends on whether the oil story sticks. If the Strait of Hormuz situation actually eases, crude could stay low, potentially keeping crypto in a risk-on mood. If Trump's claim turns out to be hollow or reversed, oil might bounce back and Bitcoin could give up its gains just as fast.
For now, the markets are watching the strait — and Trump's Truth Social feed — more closely than any Fed speech or regulatory filing.
