Why did Bitcoin drop to around $70,600?

Bitcoin fell to about $70,623 after the US announced a blockade of the Strait of Hormuz following failed nuclear talks with Iran. The geopolitical shock triggered a risk-off move, where traders reduced exposure to volatile assets like crypto.

What caused the Strait of Hormuz blockade?

US President Donald Trump ordered the blockade after peace talks collapsed, citing Iran’s refusal to end its nuclear weapons programme. The Strait of Hormuz is critical because it handles roughly 20% of global oil shipments.

How did oil prices react to the US-Iran escalation?

Oil surged about 9.5% to $105 per barrel within 30 minutes of market open. This sharp move reflects fears of supply disruption, as the Strait of Hormuz is a key global energy chokepoint.

How much did Bitcoin fall during the news?

Bitcoin initially dropped 1.9% to around $71,686 after the announcement and later hit a low of $70,623. At the time of reporting, it was down about 2.7% on the day.

Why do geopolitical events impact Bitcoin prices?

Geopolitical tensions often push investors toward safer assets like cash or gold, reducing demand for riskier assets like Bitcoin. However, Bitcoin can sometimes act as a hedge, depending on market sentiment.

Has Bitcoin been weak overall during the US-Iran conflict?

No, despite the latest dip, Bitcoin is still up about 7.4% since the conflict began on Feb. 28. This suggests underlying strength even amid volatility.

How has Bitcoin performed compared to stocks and gold?

Bitcoin has outperformed both the S&P 500 and gold since the conflict started. This indicates that, despite short-term drops, it has held up relatively well compared to traditional assets.

Why is the Strait of Hormuz so important to markets?

The Strait is one of the world’s most important oil transit routes, handling about one-fifth of global supply. Any disruption there can quickly drive oil prices higher and increase global market volatility.

Cryptocurrency

Image for illustrative purposes only. Not a real photo.

Bitcoin slides as oil jumps on Hormuz blockade

Written by Brie CarterPublished Apr 13, 2026, 12:00 AM

Bitcoin dropped to as low as $70,623 on Sunday after the United States announced a blockade of the Strait of Hormuz following failed nuclear talks with Iran.

The cryptocurrency fell 1.9% to $71,686 after US President Donald Trump confirmed the move, before sliding further as futures markets opened, while oil spiked 9.5% to $105 per barrel.

“Iran refused to end its nuclear program — the only issue that really mattered,”

Said US President Donald Trump.

Bitcoin was down 2.7% on the day at the time of writing, reflecting a broader risk-off move across markets as geopolitical tensions escalated sharply.

The Strait of Hormuz, which carries roughly one-fifth of global oil supply, has been at the centre of a six-week US-Iran dispute that has driven the highest oil market volatility since Russia’s 2022 invasion of Ukraine.

Despite the latest sell-off, Bitcoin has risen about 7.4% since the conflict began in late February, outperforming both the S&P 500 and gold over the same period.

The cryptocurrency remains below its October peak of $126,080, but has shown resilience relative to traditional assets amid ongoing geopolitical uncertainty.

At the time of reporting, Bitcoin price was $70,977.89.