Bitcoin Tumbles Below $78,000 as Oil Prices Soar Amid Middle East Tensions

Bitcoin's price plummeted below $78,000 on Tuesday's Wall Street session, mirroring a decline in risk assets as renewed Middle East tensions pushed oil prices to multi-month highs.

The surge in fuel costs has also driven US diesel costs to new highs, with West Texas Intermediate (WTI) crude surging toward $95 per barrel, the highest since June 8. Brent crude neared the $100 mark for the first time since late July.

Analysts warn that inflation expectations continue to mount as a result of these rising energy costs, which could impact macroeconomic conditions. The Consumer Price Index (CPI), a key measure of inflation in the US, is scheduled for release on Friday.