22.06.2025 14:54

Iran's parliamentary approval of a proposal to shut down the Strait of Hormuz, a crucial global oil transit point, has injected considerable uncertainty into the financial markets. This action, threatening to severely disrupt the flow of roughly a quarter of the world's oil supply, has fueled significant market volatility and amplified energy price risks.

The resulting surge in energy inflation fears, coupled with ongoing concerns about Federal Reserve tightening, has triggered a widespread sell-off in risk assets. Bitcoin, a prominent example, plummeted below the $100,000 mark, accompanied by approximately $948 million in cryptocurrency liquidations. This substantial drop clearly reflects a growing sense of caution among investors. Analysts attribute this downturn to a confluence of factors, including increased safe-haven demand for the US dollar and Treasury yields.

This geopolitical event underscores the interconnectedness of global markets and the vulnerability of even seemingly independent assets like Bitcoin to broader macroeconomic trends. The heightened uncertainty surrounding energy supplies has negatively impacted investor sentiment, prompting a flight to safety and further depressing the value of riskier assets. Other cryptocurrencies, such as Ethereum and XRP, also experienced significant declines, highlighting the pervasive impact of this geopolitical development. The situation demonstrates the intricate relationship between global political events and the fluctuating nature of the cryptocurrency market. The Strait of Hormuz proposal serves as a stark reminder of the unpredictable forces that can significantly impact the price of digital currencies.