Bitcoin declined on Thursday, mirroring a broader selloff in cryptocurrencies and other risk-sensitive assets after U.S. President Donald Trump indicated that military action against Iran could intensify in the coming weeks.
The largest cryptocurrency gave up earlier gains from a mildly upbeat start to April, though it continued to trade within the range that has largely defined its performance this year.
As of 8:34 GMT, Bitcoin was down 2.29 percent at $66,543.
Declining hopes for de-escalation weigh on crypto market
Trump said on Wednesday evening that the U.S. would intensify its military campaign against Iran over the next two to three weeks, adding that Washington was close to meeting its military goals. He also urged Tehran to agree to a deal or risk U.S. attacks on its energy infrastructure.
The remarks largely undermined hopes of a possible de-escalation, particularly after earlier comments this week had suggested the U.S. could scale back its military involvement.
Iran, however, denied earlier this week that it had approached the U.S. about a ceasefire and said no direct negotiations had taken place since the war started more than a month ago.
Following Trump’s latest comments, Bitcoin and other risk-sensitive assets came under pressure, with Asian equities and Wall Street futures posting steep losses.
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Bitcoin ETFs post first month of net inflows since October
Bitcoin exchange-traded funds recorded their first month of net inflows in March since October, according to data from SoSoValue. Spot Bitcoin ETFs attracted $1.2 billion in net inflows during March, ending a four-month streak of persistent outflows. The turnaround came even as Bitcoin had fallen by as much as 50 percent from its October all-time high.
The cryptocurrency also held up better than other speculative assets in March, posting modest gains while stocks, precious metals and other risk-sensitive sectors suffered sharp declines.
Even so, Bitcoin remained down 24 percent for 2026 and has traded near the $60,000 level for much of the year.
Broader crypto prices also retreated. Ether, the world’s second-largest cryptocurrency, fell 4.22 percent to $2,047.51, while XRP dropped 2.87 percent to $1.3139.
Solana, Cardano and BNB posted losses ranging from 3 percent to 5.40 percent.
Among memecoins, Dogecoin declined 2.5 percent, while $TRUMP slid 5.34 percent.