Bitcoin slides with risk assets as Trump’s Iran ultimatum looms

Bitcoin slipped as cryptocurrencies were swept up in broader market volatility after a series of attacks on Iran’s infrastructure as President Donald Trump’s key ceasefire deadline approaches.

The largest cryptocurrency fell as much as 2.5% before paring some losses in New York trading. The decline erased gains from the previous day, when Bitcoin briefly topped $70,000 for the first time since March. Ether, the second-largest token, dropped more than 3%. 

Stocks retreated ahead of a Tuesday deadline set by Trump, who threatened to bomb civilian infrastructure in Iran unless the Strait of Hormuz was opened. The deadline marks the latest pivotal moment in the war, which has killed thousands of people and triggered the largest-ever disruption to the global oil market.

“Cryptocurrencies remain in suspended animation, moving sideways over the last month,” said Chris Beauchamp, chief market analyst at investing and trading platform IG. “While equities seem content to ignore the looming energy crisis, at least until they do decide to focus on it, and oil prices continue to climb thanks to the ongoing Straits closure, cryptocurrencies seem to be just left to drift.”

Escalation risks in the war with Iran have largely kept investors on the sidelines after it was reported that Iran had rejected a ceasefire proposal. Trump said that opening the strait, a critical trade waterway, would be part of any deal to end the war.

Since the war started, oil prices have surged. Brent crude has made gains of roughly 50% from the start of the conflict at the end of February, while gold is down more than 10%.

Bitcoin has been comparatively resilient, with signs that institutional selling pressure is easing. U.S.-listed spot Bitcoin exchange-traded drew $471.3 million in net inflows Monday, building on $22.3 million last week—a sharp reversal from nearly $300 million in outflows the week prior. March recorded about $1.3 billion in net inflows into the ETFs—a stabilization after the four straight months of net outflows that began in November 2025.

“If we take a step back to see the bigger picture, it is easy to see that Bitcoin is doing relatively well,” said Alex Kuptsikevich, chief market analyst at FxPro. “It is trading within a fairly narrow range and above the levels seen in early March, unlike stock indices and gold.” 

Bitcoin sentiment “remains bearish on the short-to-medium time frame,” said Rachael Lucas, an analyst at BTC Markets. The market is in wait-and-see mode, she added, with “bulls lacking sufficient conviction to sustain breakouts and bears unable to force a decisive breakdown.”

Bitcoin has been stuck in a range between roughly $60,000 and $75,000 since the conflict in Iran began in late February, at one point jumping to a high of nearly $76,000 before tumbling. For much of the past two weeks, the token traded below $70,000. Now traders have eyes on an end to the war and new crypto legislation in the U.S. as potentially pushing digital assets higher.

“The bull scenario hinges on two catalysts: A confirmed and sustained U.S.-Iran ceasefire that brings oil below $100, and passage of the U.S. Clarity Act, expected in late April, which institutional market participants are closely watching as a regulatory unlock,” Lucas said.

This story was originally featured on Fortune.com