TLDR
- Bitcoin fell 1.4% to $63,305 after U.S. military strikes on Iran rattled markets
- Oil prices spiked over 5% as tensions rose in the Strait of Hormuz
- Tech stocks dropped sharply, with Micron down over 9%
- Bitcoin ETFs saw $265.7 million in net inflows on Monday
- Analyst Ted Pillows warns a close below $62,500 could send BTC to $60,000
Bitcoin dropped to around $63,000 on Tuesday after the U.S. launched military strikes against Iran. The move came after reports of attacks on three oil tankers near the Strait of Hormuz.
U.S. Central Command called the strikes a direct response to Iranian aggression against commercial vessels. Two tankers were hit by projectiles and one by a drone. No casualties were reported.
The UK’s Maritime Trade Operations agency raised its threat level for the region to “severe.” Oil prices jumped more than 5% on the news.
BREAKING: US announces it has hit over 80 targets with precision munitions in tonight's strikes on Iran, including more than 60 IRGC speed boats in and near the Strait of Hormuz, per CENTCOM.
US strikes also targeted Iranian air defense systems, command and control networks,… pic.twitter.com/bUEkJGo374
— The Hormuz Letter (@HormuzLetter) July 8, 2026
Bitcoin had briefly climbed to $64,660 earlier in the session — its highest point since June 22 — before pulling back. The drop came as U.S. equity markets also fell.
The S&P 500 dropped 0.6% and the Nasdaq 100 fell 2.1%. Chip stocks led the decline, with Micron Technologies down over 9% on the day.
Crypto analyst Ted Pillows flagged a key level to watch on X. He said Bitcoin had been rejected from the $64,500–$65,000 resistance zone and that $62,500–$62,800 was now the level to hold. He added that a daily close below that range could push Bitcoin toward $60,000.
$BTC got rejected from the $64,500-$65,000 resistance zone.
Now, the key level to hold is $62,500-$62,800.
A daily close below this level could push Bitcoin towards $60,000. pic.twitter.com/avwLzBl4OT
— Ted (@TedPillows) July 7, 2026
Bitcoin ETFs Hold Steady
Despite the price drop, institutional demand showed signs of strength. U.S.-listed spot Bitcoin ETFs recorded net inflows of $265.7 million on Monday, following $221.7 million on July 2.
That marked a reversal after a rough stretch in late June, when investors pulled nearly $2.4 billion from spot Bitcoin funds over several sessions.
Trader Daan Crypto Trades noted on X that Bitcoin’s correlation to the Nasdaq flipped sharply from -0.87 to +0.72 in just days. That shift means Bitcoin is trading more like a high-beta tech stock than a hedge right now.
$BTC Correlation to the Nasdaq just flipped to +0.72 from -0.87 in the matter of days last week.
That's the difference between trading like a complete hedge/inverse and trading like a high beta tech stock. Right now we're back to the middle on the 4H timeframe.
BTC has clearly… pic.twitter.com/XoWo0n8f22
— Daan Crypto Trades (@DaanCrypto) July 7, 2026
Fed Minutes Ahead
Markets are now watching Wednesday’s Federal Reserve minutes for clues on interest rates. The release could move both equities and crypto.
John Bollinger, creator of Bollinger Bands, described Bitcoin’s price action as being “at a critical point.” He has been watching for a potential long-term reversal in BTC price.
The U.S. also revoked a general license allowing the production and sale of Iranian crude oil as part of its response to the tanker attacks.
Bitcoin was last trading at $63,305 as of 6:04 PM ET on Tuesday.
