Bitcoin Falls After Trump Comments on New Iran Attacks
Bitcoin and Ether moved lower as Nasdaq futures and oil reacted to fresh tensions around Iran. Investors are now also watching U.S. inflation and labor market data.
Key Takeaways
- Bitcoin fell 1.3% to $83,324 after Trump did not rule out new military attacks on Iran.
- Ether, XRP, and Solana also moved lower, while Nasdaq futures traded weaker and oil prices rose.
- Investors are watching U.S. inflation, industrial, and labor market data this week for market direction.
Bitcoin and Nasdaq started the new week weak after President Donald Trump did not rule out new military attacks on Iran before the midterm elections. The crypto market reacted cautiously, while Nasdaq futures also traded lower and oil moved up.
Bitcoin and Altcoins Under Pressure
Around 03:30 UTC, Bitcoin was down 1.3% at $83,324 (€73,100). Other major tokens also moved lower. Ether traded around $2,652.72 (€2,330), while XRP and Solana posted similar losses.
The move came at a time when the market is already sensitive to geopolitical tension. In earlier periods of rising tensions between the U.S. and Iran, Bitcoin already showed sharp swings, and the correlation with stocks can change quickly in those phases. That makes the current drop mainly a sign that investors are once again reducing risk.
The broader market is also staying alert to signals from the derivatives side. High futures positions can amplify price moves in these volatile phases if traders are forced to unwind positions.
Trump Keeps His Options Open
Trump said Sunday that he expects the war with Iran could end “very soon,” but he did not rule out additional military action. When asked whether the U.S. could intervene again, he said he did not want to say, although he did call it possible. According to him, the U.S. will win the war through military and economic pressure.
Iran responded by saying the country is fully prepared for a new conflict. The UN Security Council also focused on the Strait of Hormuz, where Iran proposed a temporary agreement to reopen the passage and pause fighting for seven days. Trump rejected that proposal and repeated on Truth Social that Iran must not have a nuclear weapon.
Market Watches the Data
The tension came alongside higher oil prices. WTI rose nearly 1% to $93.28 (€82), as did Brent. That matters for the broader market because ongoing uncertainty around the Middle East can also affect inflation expectations and interest rate expectations in the U.S.
Later this week, new U.S. data will be released, including PCE inflation, ISM manufacturing, and nonfarm payrolls. Those numbers could set the tone for rate expectations and, in turn, for Bitcoin and other major crypto assets.
