BTC Falls Under $100K as Oil Concerns Trigger Risk-Off Sentiment on Wall Street

Bitcoin Dips Below $100,000 Amid Rising Geopolitical Tensions; XRP, ETH, and SOL Also Slide

Bitcoin slipped under the $100,000 mark on Sunday, reaching its lowest level since early May as Wall Street investors grew cautious ahead of Monday’s trading session. The decline followed reports that Iran is considering closing the strategic Strait of Hormuz.

The Strait of Hormuz, located between Oman and Iran, connects the Persian Gulf with the Gulf of Oman and the Arabian Sea, handling around 20% of global oil shipments.

News of Iran’s potential blockade sparked fears of a sharp increase in oil prices at the start of the week.

“Following U.S. strikes on Iran overnight, more than 50 large oil tankers hurried to exit the Strait of Hormuz. While markets were closed, an immediate supply disruption is expected to drive prices higher. JPMorgan has called this their worst-case scenario amid the Israel-Iran conflict,” said The Kobeissi Letter on X.

JPMorgan analysts warned that oil prices could surge to $120-$130 per barrel, potentially pushing U.S. inflation up to 5% — a level not seen since March 2023, when the Federal Reserve was raising interest rates.

Bitcoin’s drop weighed on the broader cryptocurrency market, with major altcoins like XRP, SOL, and Ethereum’s ETH also retreating. Payments-focused XRP fell 6% to $1.935, its lowest since April 10. Ether slid to prices last seen in early May, according to CoinDesk data.