Bitcoin fell below $71,000 on Sunday as a sudden escalation in Middle East tensions rattled markets: President Trump ordered the U.S. Navy to join Iran in blockading the Strait of Hormuz.
"Effective immediately, the United States Navy ... will begin the process of blockading any and all ships trying to enter, or leave, the Strait of Hormuz," the president wrote in a social media post early Sunday. The move came hours after Vice President J.D. Vance said late Saturday that U.S. and Iranian negotiators had failed to secure an extended ceasefire following weekend talks in Pakistan.
Market reaction was swift. Bitcoin, which traded above $73,000 for most of Saturday, slipped to roughly $71,500 after Vance’s comments. In the minutes following the president’s announcement, BTC slid further to about $70,900 — leaving it down roughly 2.5% over the past 24 hours.
The Strait of Hormuz is a key maritime chokepoint; disruptions there have historically amplified risk sentiment across asset classes. Iran had already been preventing most maritime traffic through the strait since U.S. airstrikes at the end of February, a development that adds complexity to the latest blockade order.
UPDATE (April 12, 2026, 16:51 UTC): Iran had already been blocking most maritime traffic through the Strait of Hormuz prior to the U.S. announcement.
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