Bitcoin fell to $79,074 in late Asian hours on Monday, reversing nearly $1,500 from an intraday high of $80,594 that had marked the highest since Jan. 31.
The withdrawal came as Iran’s Fars news agency claimed that two missiles hit a US patrol ship near Jask Island after the ship allegedly ignored Iranian warnings to leave its territorial waters. Brent crude jumped more than 5% to trade above $113 a barrel before paring the gain.
The United States denied the report soon after and said that no American ships had been attacked. Oil futures and stocks reduced their initial movements after the denial, but bitcoin continued its fall as traders assessed the fragility of the ceasefire that has been in place since early April.
Other major companies followed Bitcoin lower from intraday highs but remained positive throughout the day.
Ether was trading at $2,341, up 1.2% in 24 hours after touching $2,368 previously. Solana stood at $84.08, up just 0.2% on the day after starting Monday at $85.14. XRP fell to $1.40 and BNB to $623. Dogecoin held onto its gains better than most, up 2.3% on the day to $0.1102, with the weekly print still at 12.1%.
The escalation came hours after President Donald Trump announced on Truth Social that the United States would begin escorting ships stranded in the Persian Gulf through the Strait of Hormuz starting Monday, an operation called Project Freedom that involves guided-missile destroyers, aircraft and drones.
Iran responded by announcing that it had “redefined the zone of control” in Hormuz, extending its claimed maritime borders to Fujairah and noting that Tehran would regulate maritime traffic in the area independently of US operations.
Bitcoin had surpassed $80,000 for the first time since January, with $301 million in shorts liquidated as the move unfolded on Monday. The Senate Clarity Act commitment on stablecoin performance, released on Friday, had added to the risk tone heading into the week.
Whether the US denial stands or whether new confirmations emerge from either side will likely determine the remainder of the US session.
