Bitcoin Sinks Below $77,000 After Trump Issues Fresh Iran Threat

Bitcoin (BTC) sank under $77,000 late Sunday after a fresh threat from U.S. President Donald Trump against Iran rattled investors and renewed inflation worries.

Bitcoin Price Drop Details

The largest cryptocurrency traded at $76,691 by 11:10 p.m. ET on Sunday, down 1.2% on the day. Earlier in the session, Bitcoin printed a low near $76,520.

The decline followed a Truth Social post in which Trump warned that further delays in a peace deal would invite military action. "They better get moving, FAST, or there won't be anything left of them," the president wrote.

Brent crude climbed 1.78% to $111.20, and WTI advanced 2.2% to $107.70 as traders braced for a wider Middle East escalation. The Crypto Fear & Greed Index slid to 27, dropping from a neutral 40 to 50 range a week earlier.

Also Read: XRP ETFs Hit Record $1.39B But Token Loses 4th Spot To BNB

Analysts Flag Inflation Risk

Andri Fauzan Adziima of Bitrue Research Institute pointed to surging Treasury yields at 12-month highs, a stronger dollar, and geopolitical escalation as the main drivers. Jeff Mei, COO at BTSE, said traders fear persistent oil-driven inflation could push the Federal Reserve toward another rate hike.

From May 11 to May 15 ET, spot Bitcoin ETFs recorded a net outflow of $1.039 billion, ending six consecutive weeks of net inflows. Spot Ether (ETH) ETFs saw a net outflow of $255 million.

Spot Solana (SOL) ETFs posted a net inflow of $58.12 million, while spot XRP (XRP) ETFs took in $60.50 million. Min Jung of Presto Research said managers are rotating into cash as Fed cut bets fade.

Bitcoin Recent Price History

Adziima called the current dip a healthy digestion within a broader uptrend, flagging $74,000 as key downside support. New Fed Chair Kevin Warsh and his tone on rates will be a near-term catalyst, he added.

Bitcoin touched roughly $82,000 days before the slump, lifted by spot ETF inflows and momentum behind the U.S. Clarity Act. The token fell to a session low of $77,614 on Saturday, according to Bitstamp data, after shedding about $4,000 from the May 14 peak. Earlier in May, a deadlocked U.S.-China summit and Iran's rejection of a Trump ceasefire proposal had already triggered sharp pullbacks below $80,000.

Alexey Bondarev

Alexey Bondarev is the Head of Content at Yellow.com, having reported on crypto for the last 10 years. He specializes in in-depth Research and Learn pieces, with a focus on analytical reporting, industry context, and the bigger forces shaping crypto, from the AI era and security technologies to fintech innovation. He believes that everything digital will imminently overcome everything analogue and is working hard to make that come true.