Bitcoin stabilized below the $77,000 level on Tuesday, after four consecutive sessions of losses, as investors monitored developments regarding the conflict with Iran while assessing the impact of rising oil prices on inflation and U.S. interest rate expectations.
The world’s largest cryptocurrency was last trading up 0.31 percent at $77,120.75 by 12:19 PM UAE time, following declines during the past four sessions.
Bitcoin had surpassed the $82,000 level last week, supported by strong inflows into spot ETF funds.
Market sentiment remained fragile despite U.S. President Donald Trump’s announcement that planned attacks on Iran had been postponed amid ongoing diplomatic efforts.
However, uncertainty regarding the Strait of Hormuz and threats to global crude oil supplies kept investors on the defensive.
Oil prices remained elevated above $100 per barrel, following a sharp rise in recent weeks on the back of supply disruption fears linked to the conflict in the Middle East.
The rise in crude costs fueled fears that global inflation could remain high for longer, potentially forcing central banks to keep interest rates elevated, which impacts the appetite for speculative assets such as cryptocurrencies.
U.S. Treasury yields stayed high on Tuesday, as the benchmark 10-year bond yield hovered around 4.44 percent following its sharp rise during recent sessions, with investors pricing in inflation risks stemming from elevated energy costs.
Analysts noted that Bitcoin continues to trade largely in line with broader risk sentiment, as geopolitical tensions overshadow optimism linked to institutional demand and spot ETF inflows.
