Bitcoin Slips As U.S.-Iran Strikes Push Oil Prices Higher

Bitcoin and major cryptocurrencies traded lower today after fresh U.S.-Iran aerial strikes sent oil prices climbing and boosted the dollar, adding pressure on risk assets.

Crypto Prices Fall Across The Board

Bitcoin dipped nearly 1% slipping to around $62,657 during Asian trading hours. Ether and Solana also declined, falling between 1% and 2.3%. Meanwhile, WTI crude futures rose more than 2% to $72.27, and the Dollar Index held firm above the 101.00 level.

Fresh Military Escalation Rattles Markets

The U.S. said it carried out strikes against Iran after attacks on three tankers, including Qatari and Saudi vessels, in the Strait of Hormuz. Iran responded by claiming it targeted 85 U.S. military installations in retaliation for strikes on its Hormozgan and Mahshahr provinces. The exchange has raised concerns that the fragile ceasefire between the two nations could collapse entirely.

Inflation Fears Weigh On Risk Appetite

The broader Iran conflict, which began in late February, initially pushed oil above $100 per barrel and triggered a global inflation shock. Although prices have since dropped below $60, inflation expectations remain elevated, raising concerns about potential interest rate hikes worldwide, including in the U.S. Higher rates typically make safer bond yields more attractive than riskier assets like cryptocurrencies, adding further pressure on the crypto market.