Bitcoin Dumps Below $75K as US-Iran Tensions Threaten to Escalate

Iranian officials blamed Trump for being deceptive and inconsistent with what is actually happening.

Bitcoin’s price was halted at its multi-month peak at over $78,000 on Friday, and the subsequent conflicting actions and statements from Iran and the US have led to another retracement to under $75,000 as of press time.

The latest set of blame-throwing came minutes ago, as reports emerged that Iran believes they are “facing deception” from US President Donald Trump due to “inconsistency with what is actually happening.”

Moreover, Iranian officials said they believe the two sides are “on the verge of a new round of escalation,” as reported by The Kobeissi Letter.

It’s worth noting that there’s merit to this claim. There have been numerous statements from the POTUS in the past 72 hours alone, starting from the more positive gratefulness for Iran’s decision to reopen the Strait of Hormuz on Friday.

However, the US blockade remained in place, and Iran decided to close the Strait just a day later. Trump started to threaten once again, while also saying that both nations’ delegations will meet again in Pakistan for another round of peace talks. In contrast, Iran’s Tasnim news agency said there were no such plans.

Trump then alleged that there’s a “divide” in the Iranian government and threatened to “blow up” the entire country if the two nations fail to reach an agreement.

This rather escalating uncertainty, with just a few days left until the ceasefire deal ends, led to a weekend correction for BTC, as the asset just slipped below $75,000. It’s now down by almost $4,000 since the Friday peak.

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However, more volatility is to be expected later this evening when the futures legacy markets open and tomorrow morning, as it has happened in previous instances following major weekend developments.