Bitcoin ticked below $70,000 levels on Thursday, but remained supported, as investors turned cautious after oil prices surged again amid escalating conflict in the Middle East.
The world’s largest cryptocurrency last traded 0.7% lower at $69,454 by 02:14 ET (06:14 GMT).
Bitcoin appears to be consolidating near the $70,000 mark as markets digest geopolitical developments.
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Crude surges back near $100/bbl, stokes inflation fears Oil markets were the main driver of risk sentiment. Brent crude surged back above $100 per barrel after retreating from Monday’s spike near $120, its highest level in nearly two years.
The latest escalation in the Middle East included attacks on two fuel tankers in Iraqi territorial waters and strikes on commercial vessels moving through the Strait of Hormuz, a key global oil chokepoint.
The Strait of Hormuz handles roughly one-fifth of the world’s oil shipments, and tanker traffic has been nearly halted amid security concerns.
Rising energy prices have revived worries about global inflation just as central banks were beginning to consider easing policy. Analysts say sustained oil prices above $100 could complicate the U.S. Federal Reserve’s path toward rate cuts and pressure risk-sensitive assets such as cryptocurrencies.
Bitcoin has often moved in tandem with broader risk assets in recent months, with traders wary that a fresh inflation shock could weigh on liquidity.
Investors also await key U.S. economic data for clues on the Federal Reserve’s policy outlook.
Weekly jobless claims figures are due later on Thursday, while U.S. Personal Consumption Expenditures (PCE) price index -- the Fed’s preferred inflation gauge -- is scheduled for Friday.
Crypto price today: altcoins largely muted Most altcoins were largely muted on Thursday amid a risk-off mood.
World no.2 crypto Ethereum edged up 0.2% to $2,027.84.
World no. 3 crypto XRP fell 1% to $1.37.
Solana eased 0.5%, while Cardano and Polygon were largely steady.
Among meme tokens, Dogecoin inched 0.2% lower.
