Bitcoin has fallen below $65,000 after U.S. President Donald Trump threatened a “massive attack” on Iran, with the cryptocurrency losing about 1.5% on Thursday.
According to data from crypto.news, Bitcoin ($BTC) was trading at $64,885 on July 23, extending its retreat after an attempt to recover earlier in the week. The price later touched about $64,831 as traders responded to another escalation in the Iran war and a sharp rise in crude oil prices.
Speaking to Axios on Thursday, Trump confirmed that he was considering restarting large-scale military operations against Iran. His comments came after Iranian forces struck U.S. targets in the region and Iran-backed Houthi fighters attacked Saudi oil tankers in the Red Sea.
“I am considering a massive attack. Bigger than ever before. I am close to making a decision. We are all set for it.”
Despite the warning, Trump gave no deadline for deciding whether to launch another operation. Two U.S. officials told Axios that the White House had not made a final decision or issued new military orders.
War risks have renewed pressure on Bitcoin
Discussing possible support from Israel, Trump told Axios that the country “would join in two minutes if I ask them to.” He maintained that Washington did not need assistance to conduct the operation, while acknowledging that Israeli involvement could carry “consequences” through Iranian retaliation.
Trump also claimed that Iranian officials wanted negotiations but were not prepared to accept an agreement. Two regional sources familiar with the mediation process told Axios that Iran’s leadership had rejected the latest proposal submitted through intermediaries.
“They haven’t received enough pain yet,” Trump said while questioning Tehran’s approach to the negotiations.
Military activity has intensified during the past 12 days as Washington has tried to stop Iranian attacks on commercial vessels in the Strait of Hormuz. According to Axios, Iran has continued its regional operations despite repeated U.S. strikes, leaving the two countries without a clear path toward a ceasefire.
Bitcoin’s decline followed a familiar risk-off response to the conflict. Earlier in July, the cryptocurrency dropped more than 3% to around $61,691 after Trump declared that a tentative Iran ceasefire was over.
Binance Research analysts told Barron’s that macroeconomic pressure could limit Bitcoin’s performance through the third quarter. The analysts noted that $BTC ended the first half of 2026 near $59,500, about 53% below its record high of more than $120,000 reached in October 2025.
According to Binance Research, the decline places Bitcoin within a possible historical bottoming period heading into the fourth quarter, although the firm stressed that the signal had not been confirmed. $BTC’s inability to hold $65,000 on Thursday has kept attention on whether sellers can push the price back toward its July lows.
Surging oil prices have added an inflation threat
Energy markets faced fresh pressure after Yemen’s Iran-aligned Houthis claimed attacks on two Saudi oil tankers, Encelia and Layla, in the Red Sea. The group said it used ballistic missiles, cruise missiles and drones because the vessels had violated its naval blockade on Saudi Arabia.
Saudi state news agency SPA confirmed that an attack caused a fire on Encelia’s bow, although all crew members were safe.
Ship-tracking data reviewed showed that five tankers changed course after the Houthis warned vessels to avoid Saudi ports. Two of those tankers indicated the Suez Canal as their new destination, while the Houthis separately claimed they had forced about 10 ships to turn back.
Those attacks have placed the Bab el-Mandeb Strait, a key route connecting the Red Sea and Gulf of Aden, at the center of the conflict. Reuters reported that the passage provides Saudi Arabia with an alternative export route while traffic through the Strait of Hormuz remains heavily disrupted.
Brent crude futures climbed 7% to $100.66 per barrel on Thursday, crossing $100 for the first time since late May, according to Reuters. West Texas Intermediate rose 6.3% to $92.28, while Brent’s monthly gain approached 40%.
UBS analyst Giovanni Staunovo estimated that Gulf oil-loading activity had dropped to 2.5 million barrels per day over the previous seven days, compared with a 30-day average of 6 million. Staunovo also estimated that Iranian oil loadings may have fallen to zero from between 1.5 million and 2 million barrels per day at the start of July.
Goldman Sachs warned that Brent could exceed $120 during the fourth quarter if disruption in the Strait of Hormuz persists and spreads further across the Bab el-Mandeb Strait and Suez Canal. Higher energy costs could complicate the U.S. inflation outlook, while Binance Research expects macro pressure to keep Bitcoin’s recovery limited through the third quarter.
