Bitcoin price steady as Trump threatens further action against Iran

Bitcoin’s price remained largely unchanged on Monday after U.S. President Donald Trump said the U.S. would “hit Iran hard,” breaking its earlier trend of reacting to geopolitical tensions.

The cryptocurrency was trading at around $79,076, showing no significant movement over the past 24 hours or the past week. This stability contrasts with earlier in the year, when Bitcoin’s price often fell on news of conflict and rose on hopes of peace.

Recent market shifts

Earlier this year, Bitcoin dropped sharply when the U.S. and Israel first attacked Iran in February. It also saw volatility in March and April amid war-related news. However, analysts note that Bitcoin’s price swings have been more subdued in recent months.

The latest calm came even as Trump reiterated his threat on Monday, following renewed strikes between the U.S. and Iran that began on Sunday—the first in over a month.

Factors supporting Bitcoin’s rise

Bitcoin has gained nearly 30% over the past month, its best performance in three years. This surge followed a U.S. Treasury announcement to at least double the size of its liquidity-support buyback operations, which weakened the dollar and benefited non-yielding assets like Bitcoin and gold.

Regulatory developments also boosted sentiment. Trump recently called the proposed Crypto Clarity Act a “very, very powerful” piece of legislation and urged lawmakers to pass it. The act aims to create a clear framework for classifying digital assets as securities, commodities, or payment stablecoins—a long-sought goal for the crypto industry.

Additionally, crypto exchange-traded funds (ETFs), which allow investors to buy Bitcoin through traditional stock markets, saw strong inflows. From August 17 to 27, these funds attracted over $2.8 billion, the highest since October. Last week alone, crypto ETFs pulled in $3.2 billion, with BlackRock’s IBIT leading at $928 million.

Bitcoin reached a peak of $81,281 last week before dipping slightly on Friday.

Sources

• Bitcoin Magazine