Bitcoin slips to about $83,000 as Trump rejects Iran's Hormuz plan
Bitcoin fell roughly 1.8% over 24 hours after President Trump turned down Iran's plan to end the war and reopen the Strait of Hormuz, pushing oil, the dollar and Treasury yields higher.
Key points
- Bitcoin traded near $83,000, down about 1.8% over 24 hours, after opening the week at $84,455 and hitting a low of $82,580.
- Brent crude rose back above $100 a barrel after Trump rejected Iran's seven-day plan to end hostilities and reopen the Strait of Hormuz.
- Total crypto market capitalisation stood near $2.86 trillion, down 1.7% on the day, with BNB off 1.98% and Hyperliquid's HYPE down nearly 4%.
- Derivatives open interest reached $382.29 billion, up 8.17%, and 24-hour liquidations totalled $478 million, mostly longs at $386.5 million.
- CME FedWatch priced about a 64% chance of another quarter-point hike at the Fed's October 27-28 meeting, ahead of Wednesday's PCE inflation report and Friday's jobs data.
Bitcoin fell to around $83,000 on Monday, down about 1.8% over 24 hours, as President Donald Trump's rejection of Iran's plan to end the war weighed on risk assets, Decrypt reports. The cryptocurrency opened the week at $84,455, briefly pushed as high as $84,972 in an attempt to clear $85,000, then slid to a low of $82,580 before settling near $82,933. That left it down roughly $1,523 on the day.
The move followed Trump's decision to turn down Iran's seven-day plan to end hostilities and reopen the Strait of Hormuz. Oil traders reacted quickly, with Brent crude climbing back above $100 a barrel. A stronger dollar and rising Treasury yields followed, a combination that tends to hurt assets which pay no yield, such as Bitcoin and gold.
The pullback looks modest next to last month's gains. Bitcoin spent most of the year in a heavy bear trend before a sharp breakout in August and early September carried it from the mid-$70,000s past $80,000 within days. The rally peaked near $87,354 before the market cooled into the consolidation it remains in, according to the report.
Bitcoin opens week lower
Technical indicators still lean positive. The 50-day moving average sits above the 200-day, a golden cross that has held since the September breakout, while the Relative Strength Index reads 58.7, in bullish territory without signalling overbought conditions. The Average Directional Index stands at 43.2, well above the 25 level that confirms a trend, and volatility is picking up rather than fading. Decrypt cautions that none of this rules out a deeper dip.
Most of the top ten cryptocurrencies are cooling alongside Bitcoin. BNB is down 1.98% over 24 hours and 4.28% over the week, while Hyperliquid's HYPE has fallen nearly 4% today and more than 6% over seven days. Zcash and XRP are among the few weekly gainers, up 3.61% and 1.26%, though both are lower on the day. Total crypto market capitalisation sits near $2.86 trillion, down 1.7%, while the Crypto Fear and Greed Index still reads 70.
Derivatives markets remain the hottest corner. Open interest reached $382.29 billion, up 8.17%, and 24-hour derivatives volume jumped 66.28% to $838.18 billion. Liquidations over the past day totalled $478 million, split between $386.5 million in longs and $87.95 million in shorts, a lopsided ratio showing leveraged bulls took the brunt of the sell-off. Spot Bitcoin ETFs remain net positive, extending a run that began in mid-September.
Oil and yields climb
The week ahead is heavy with data that will shape the next Federal Reserve decision. Tuesday brings JOLTS job openings, Wednesday the Fed's preferred inflation gauge, and Friday the September jobs report. Those releases follow the Fed's first rate hike since 2023, a unanimous 12-0 vote on September 16 that lifted the benchmark rate to 3.75% to 4%. Governor Michael Barr has said more tightening is likely needed, and CME FedWatch now prices roughly a 64% chance of another quarter-point increase at the October 27-28 meeting, down from 75% a few days earlier.