Bitcoin Tumbles to $64,799 Amid Trump's Iran Threats
Bitcoin (BTC) plummeted to a three-day low of $64,799 on July 23rd, amidst escalating tensions between Washington and Tehran. The sudden decline was triggered by President Trump's warning of potential 'massive attacks' against Iran in response to Houthi attacks on Saudi oil vessels.
The threat of military action sent shockwaves through the market, causing Brent crude prices to surge past $100 per barrel for the first time since early June. This dramatic increase has intensified concerns about accelerating inflation in the US.
As a result, the probability of a 0.25% Federal Reserve interest rate hike during the July meeting skyrocketed from approximately 12% to nearly 40% over a single week, according to CME Group's FedWatch Tool.
Market analysts remain divided on Bitcoin's direction, with some predicting a rally towards $73,000 if it stays above the 21-day moving average at $64,073. However, others are more cautious, warning that the July rally may be coming to an end and advising investors to close their long positions.