Bitcoin rebounds on Trump Iran statement after the president ruled out strikes before the November 3 midterm elections. Oil prices also retreated. Consequently, this signals de-escalation in the U.S.-Iran war.
Why Bitcoin Rebounds on Trump Iran Statement
In a Truth Social post, Trump assured supporters that the U.S. will not attack Iran “at any time” before the midterms. He also revealed that the U.S. was having productive discussions with Iran.
Bitcoin rebounded on the back of his post. Specifically, it rose above the psychological $81,000 level before going back to $80,500. TradingView data confirms this. Notably, BTC had been on a steady decline since the start of the week. Treasury yields and oil prices were rising. Inflation concerns from Middle East uncertainty drove that trend.
Trump Rules Out Strikes Before Midterms
President Trump also said the blockade will remain in place. Additionally, he claimed oil continues to flow through the Strait of Hormuz at record levels. “22 Million Barrels, last night alone,” he wrote. He added that not one barrel came from or went to Iran.
However, his statement signals de-escalation. It also comes less than a day after reports that the military was preparing strike options. Both sides continue to negotiate. Meanwhile, Iran presented a peace plan to the U.S. The U.S. has responded.
According to a Tasnim reporter, Iran’s Foreign Minister Abbas Araqchi commented. He said they will respond to the U.S. proposal within days. “We are currently reviewing the Americans’ views,” he said.
Oil Prices Retreat as Tensions Ease
Oil prices retreated on the development. Therefore, this reflects reduced supply concerns. Consequently, traders reacted quickly to the de-escalation signal.
Ceasefire Odds Rise on Polymarket
With Trump’s statement, crypto traders increased their bets. Specifically, they bet the U.S.-Iran ceasefire will last until mid-November. Polymarket data shows a 60% chance the ceasefire lasts through November 15.
What Comes Next for Bitcoin
Bitcoin must hold above $81,000 to sustain the rebound. If oil prices stay low, inflation fears may ease. That could support further gains. Conversely, renewed tensions could reverse the move. Therefore, traders will watch Iran’s response closely.
