Why did oil prices surge 7% after the Hormuz blockade news?

Oil prices jumped after Donald Trump ordered a naval blockade of the Strait of Hormuz, a critical global oil chokepoint. The move raised fears of supply disruptions, pushing WTI and Brent crude prices sharply higher.

What is the Strait of Hormuz and why does it matter for markets?

The Strait of Hormuz is a key shipping route for global oil, with a significant portion of supply passing through it. Any disruption can quickly reduce available supply and drive prices higher.

How big is the potential oil supply shock from this situation?

Current disruptions are estimated at 4.5 to 5 million barrels per day, but could rise to 10 to 11 million barrels if flows are not restored. This would represent an unprecedented shock to the modern oil market.

Why did trading volume spike on Hyperliquid?

Hyperliquid saw $1.53 billion in WTI futures volume as traders turned to decentralised platforms for price discovery while traditional markets were closed.

What does this say about DeFi’s role in global markets?

The surge in trading highlights how decentralised platforms are becoming alternative venues for real-time trading. This is especially relevant during geopolitical events when traditional markets are less accessible.

How is Bitcoin (BTC) reacting to the oil price surge?

Bitcoin fell nearly 3% to around $71,000 as risk sentiment weakened. Higher oil prices can increase inflation, which typically pressures risk assets like crypto.

Why do rising oil prices negatively impact crypto markets?

Higher oil prices can drive inflation, reducing the likelihood of interest rate cuts. This creates a tougher environment for risk assets, including cryptocurrencies.

What is “risk-off sentiment” and why is it happening now?

Risk-off sentiment refers to investors moving away from volatile assets into safer ones. It is being triggered by geopolitical escalation and fears of a major supply shock in energy markets.

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Oil surges 7% after Trump Hormuz blockade order

Written by Liezl GambePublished Apr 13, 2026, 12:00 AM

Oil futures surged as much as 7% after President Donald Trump ordered a naval blockade of the Strait of Hormuz following failed nuclear talks with Iran.

WTI crude rose to around $96.40 while Brent climbed to $96, with trading volume on Hyperliquid reaching $1.53 billion as traders turned to decentralised platforms during market closures.

The blockade threatens a major supply disruption, with analysts warning of a potential “unprecedented” shock as emergency oil reserves near depletion.

Current supply shortfalls of roughly 4.5 to 5 million barrels per day could widen to as much as 10 to 11 million barrels if flows through the Strait remain constrained.

The escalating situation is expected to drive inflation higher and trigger risk-off sentiment across global markets, including equities and cryptocurrencies.

Bitcoin fell nearly 3% to around $71,000 as traders reacted to the geopolitical escalation and reassessed macroeconomic risks.

With volatility rising across both traditional and digital assets, markets are bracing for further price swings as supply risks and geopolitical tensions intensify.

At the time of reporting, Hyperliquid price was $41.78.