Bitcoin (BTC) Slides to $64,799 as Trump’s Iran Threats Spark Market Volatility

Key Takeaways

• BTC declined to a three-day bottom of $64,799 on Thursday, July 23
• President Trump warned of potential “massive attack” on Iran after Houthi attacks on Saudi oil vessels
• Brent crude surged past $100 per barrel, intensifying inflation worries
• Probability of July Fed rate increase surged from 12% to approximately 40% within seven days
• Market analysts remain divided, with bullish targets at $73K and bearish calls below $65K

Bitcoin plunged beneath the $65,000 threshold on Thursday as escalating geopolitical friction between Washington and Tehran spooked risk-sensitive assets globally.

Bitcoin (BTC) Price

The BTC/USD pair touched a three-day nadir at $64,799 on Bitstamp, representing a 1.52% daily decline, per TradingView market data.

The downturn was catalyzed by statements from President Donald Trump, who indicated he is “considering a massive attack” targeting Iran. These comments followed attacks by Iran-supported Houthi forces on Saudi Arabian oil tankers navigating the Red Sea.

In a Truth Social post, Trump expressed being “very disappointed” with the Houthis and issued warnings about repercussions for Tehran. He further stated that Israel “would join in two minutes” if requested, while emphasizing “we don’t need anybody.”

White House officials clarified that no definitive military action had been authorized, and two government sources confirmed that operational orders remain unissued.

Brent crude petroleum prices breached the $100 per barrel mark, reaching levels not seen since early June. This dramatic increase has intensified concerns regarding accelerating inflation in the United States.

Federal Reserve Rate Hike Expectations Surge

Inflation anxieties are directly influencing monetary policy forecasts. Data from CME Group’s FedWatch Tool reveals that the likelihood of a 0.25% Federal Reserve interest rate increase during the July meeting skyrocketed from approximately 12% to nearly 40% over a single week.

Market intelligence source The Kobeissi Letter observed that US 10-year Treasury yields reached 18-month peaks, characterizing it as “a sign of fresh economic strain.”

American equity markets suffered alongside crypto. The S&P 500 declined 1.2% while the Nasdaq tumbled 2.2% by Thursday’s New York session close.

Market Analysts Divided on BTC’s Direction

Analyst Michaël van de Poppe identified the 21-day moving average at $64,073 as the critical support threshold. He suggested that if Bitcoin maintains levels above this point, a rally toward $73,000 becomes viable, though the $68,000 resistance zone presents a significant obstacle.

Trader Jelle maintained an optimistic outlook, noting that price action is “still making progress” and that breaching local resistance could pave the way toward $70,000.

Analyst Exitpump adopted a more conservative stance, advising followers: “July rally is coming to end. Close your longs, go short once price breaks below 65K.”

Analyst KillaXBT outlined his current market perspective, stating his belief that the bottom is already established at $57K. He anticipates BTC will undergo consolidation over the next one to one-and-a-half months before initiating an upward expansion toward the $80,000 range.

https://twitter.com/KillaXBT/status/2080276912471961697?s=20

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