Bitcoin, Fear of Plunge as Trump Halts Iran Negotiations... Is the Gate of Hell Opening Again?

▲ Bitcoin (BTC) Decline/AI Generated Image

Bitcoin (BTC) has turned downwards as geopolitical anxieties grew following news of U.S. President Donald Trump's cancellation of Pakistan peace negotiation schedule.

Coingape reported on April 25 (local time) that President Trump abruptly canceled his planned visit to Pakistan for talks with Iran. President Trump also suspended the dispatch schedule of special envoys, including Jared Kushner and Steve Witkoff. This is due to Iran's refusal of direct dialogue, causing negotiations to fall into a stalemate.

As the possibility of peace settlement decreased, the market is showing a sentiment of avoiding risk assets. Bitcoin's price broke below the $78,000 mark and came under downward pressure. Iran's blockade of the Strait of Hormuz, a global oil shipping route, fueled investor fears. Although President Trump extended the ceasefire, actual diplomatic outcomes remain uncertain.

News of the U.S. Treasury Department freezing Iran-linked funds also worsened investor sentiment. Treasury Secretary Scott Bessent froze $344 million worth of virtual assets to cut off Tehran's funding. As pressure from regulatory authorities intensified, Bitcoin is currently undergoing a correction down to the $74,000 level. Technical resistance is also clearly evident in higher time frames.

Bitcoin recovered to $79,000 last week but is now losing upward momentum and declining. The failure to break through the resistance level near $78,500 was the direct cause of the price drop. Concerns about soaring energy prices are pressuring the market as tensions in the Middle East have not eased. For the time being, geopolitical risks and President Trump's diplomatic actions are expected to determine the market's direction.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*