Bitcoin retreated on Thursday, slipping beneath the $76,000 mark as investors grew more cautious in response to escalating tensions in the Middle East and renewed inflation concerns. The world\'s largest cryptocurrency was last quoted near $75,700, representing a roughly 1-2% decline over the prior 24 hours.
At one point during the trading session, bitcoin fell to $75,337.4 after having been around the $78,000 range during the previous session.
Geopolitical developments push risk assets lower
Sentiment soured after a report from Axios indicated that U.S. President Donald Trump is expected to receive a briefing on new military options regarding Iran. The report emphasized that Washington is considering further steps to alter the current stalemate, with policymakers weighing both military and energy-market consequences.
That shift in the geopolitical backdrop sent oil sharply higher. Brent crude climbed above $125 per barrel, reaching a four-year high as disruptions continued to affect flows through the Strait of Hormuz, a vital global oil chokepoint. A separate report from The Wall Street Journal said the U.S. is pressing allies to form a coalition effort to help reopen the Strait of Hormuz.
Federal Reserve decision highlights inflation risks
The macro picture was complicated further by the Federal Reserve\'s latest policy decision. Policymakers opted to hold interest rates steady, but the vote produced the most divided result in decades. The decision exposed disagreement over language that implied a retained easing bias, with three regional Fed presidents dissenting against that phrasing on the grounds that inflation remains elevated and risks are skewed to the upside.
Fed Chair Jerome Powell cautioned that inflation has not yet peaked and acknowledged growing internal pressure to move toward a more neutral policy stance. Powell also confirmed he will step down as chair next month while remaining on the Board of Governors.
Altcoins mostly under pressure
Most major altcoins extended losses on Thursday amid the cautious mood.
- Ethereum slipped 3.2% to $2,250.65.
- XRP fell 1.6% to $1.37.
- Solana eased about 2% and Cardano declined roughly 1%.
- Polygon gained 1% while Dogecoin rose 1.1% amid mixed performance across meme and layer-one tokens.
The combination of renewed geopolitical risk centered on the Middle East, an energy-price shock, and a split Fed vote that spotlighted inflation upside left traders and risk assets on edge. Market participants appear to be recalibrating exposures as officials and policymakers weigh actions that could influence both energy flows and the path of monetary policy.