Bitcoin fell further Sunday morning after President Donald Trump announced the United States would move to impose a naval blockade of the Strait of Hormuz following unsuccessful diplomacy with Iran over its nuclear program.
In a post on Truth Social, Trump said negotiations led by Vice President JD Vance concluded without agreement on Tehran’s nuclear activities, which he described as “the only point that really mattered.” He reiterated that Iran must not be allowed to develop nuclear weapons and said Iran had been “unyielding” on its nuclear ambitions despite progress on other issues.
Trump announced the U.S. Navy will “begin the process of BLOCKADING” ships entering and leaving the Strait of Hormuz to counter what he characterized as Iran’s “extortion,” citing alleged threats from naval mines and other disruptions. He said allied nations would take part and suggested vessels paying what he called “illegal tolls” to Iran could be intercepted even in international waters.
He warned U.S. forces would act aggressively to protect shipping, move to neutralize suspected mines, and respond with overwhelming force to any attacks on American or civilian vessels. Trump also claimed that Iran’s military capabilities—its navy, air defenses, and radar systems—have been substantially degraded.
On-chain data showed bitcoin slid below $71,000 after the remarks, dropping roughly $2,000. BTC was trading near $71,000 at press time as traders considered whether the pullback might deepen amid renewed geopolitical risk. Altcoins also retreated, with Ethereum falling under $2,200 and total crypto market capitalization dipping nearly 2% to below $2.5 trillion.
Disclosure: Edited by Vivian Nguyen. For more on how we create and review content, see our Editorial Policy.