Bitcoin Slides to One‑Week Low as Oil Hits $100, Strait of Hormuz Tensions Rise

Bitcoin

The move comes amid a fragile macro backdrop—moderate inflation, a dovish‑leaning Fed, and a low Fear & Greed index—where any shock to energy prices can sway USD strength and, in turn, crypto valuations. Crypto’s correlation with risk‑off assets has tightened, making geopolitical news a more potent driver of short‑term price action.

President Donald Trump announced an extension of the US‑Iran ceasefire until peace talks make progress, causing oil prices to fluctuate amid uncertainty.

Trump Extends US‑Iran Ceasefire, Oil Prices Waver, Crypto Markets React

Whales are funneling BTC into DeFi lending to collateralize tokenized‑oil trades after Trump’s cease‑fire extension

Bitcoin Holds Above $74K as Spot Crypto ETF Inflows Surge and Asian Markets Recover War‑Related Losses

The Hormuz chokepoint accounts for ~20% of daily global oil shipments; a sustained closure forces higher energy costs, fuels inflation, and pressures central banks to tighten monetary policy – all headwinds for risk‑on assets like BTC. At the same time, the rare alignment of US and China on a security issue could reshape the dollar’s safe‑haven status, creating a secondary macro‑dynamic that may later benefit crypto as an inflation hedge.

U.S. President Donald Trump urged NATO allies and China to help reopen the Strait of Hormuz, warning that NATO faces a “very bad” future if they do not assist.