Bitcoin Falls As Trump’s Hormuz Remarks Spark A $20B Crypto Market Rout
The cryptocurrency market erased more than $20 billion after fresh geopolitical tensions pushed traders toward safer assets. Bitcoin led the decline as oil prices climbed sharply following new comments from. . .
The cryptocurrency market erased more than $20 billion after fresh geopolitical tensions pushed traders toward safer assets. Bitcoin led the decline as oil prices climbed sharply following new comments from U. S. President Donald Trump. Meanwhile, liquidations accelerated across major digital assets before key United States economic events. Trump’s Remarks On The Strait Of Hormuz Deepen Pressure Across Risk MarketsPresident Donald Trump increased market uncertainty after discussing the Strait of Hormuz and ongoing tensions involving Iran. He stated that the United States would take control of protecting the strategic shipping route. Consequently, energy markets reacted quickly as geopolitical risks intensified. Brent crude advanced above $79 per barrel after gaining nearly 5% during renewed military developments. At the same time, reports indicated continued exchanges between the United States and Iran across the region. Iran also announced the closure of the Strait of Hormuz, although U. S. Central Command rejected that claim. "It looks like they're back at their business trying to take over the Strait. . . "@POTUS: "We’re taking over the Strait. They have nothing. . . yesterday, they had an 11-hour meeting. . . and everything was agreed to yesterday, and they leave the room, and they call back and they…pic. twitter. com/kvVbrTS3yD— Rapid Response 47 (@RapidResponse47)July 13, 2026Higher oil prices added fresh pressure across global financial markets and reduced demand for risk-sensitive assets. As a result, cryptocurrencies joined broader market declines during the trading session. The latest developments also extended uncertainty surrounding international trade and energy supplies. The market weakness followed separate reports involvingAmerican Bitcoin, the mining and treasury company backed by EricTrump. Bloomberg reported that the company’s shares had declined more than 95% from their previous peak. The decline also reduced the value of EricTrump’s reported stake by more than $600 million. American Bitcoinreportedly closed at a record low of $6. 13 on July 10. The company had recently completed a one-for-15 reverse stock split before reaching that level. As a result, the broader crypto sector faced additional negative sentiment alongside geopolitical concerns. Rising energy costs often increase inflation expectations and reduce demand for speculative assets. Therefore, cryptocurrencies experienced additional selling pressure as market participants adjusted their positions. The combination of geopolitical uncertainty and higher oil prices strengthened the broader risk-off environment. Bitcoin Leads Crypto Decline As Liquidations AccelerateBitcoinfell more than 3% during the selloff and traded near $62,389 during the latest session. Earlier, the cryptocurrency reached an intraday low of approximately $62,120 after trading above $64,300. The decline reflected broad weakness across the digital asset market. Ethereumalso moved lower as selling pressure spread across major cryptocurrencies. XRP,BNB,Solana, Hyperliquid,Zcash, andCardanodeclined between 2% and 6% during the session. Consequently, losses expanded across both large-cap and alternative digital assets. According to CoinGlass, the crypto market lost nearly $20 billion in value during the downturn. The data provider also reported almost $40 million in liquidations across multiple digital asset positions. Furthermore, approximately 73,000 traders faced liquidations within the previous 24 hours. Bitcoin,Ethereum,Solana,XRP,Hyperliquid, SPCX, SNDK, and MU positions recorded notable forced liquidations. Leveraged positions amplified losses as prices declined across the broader market. Therefore, liquidation activity accelerated throughout the trading session. CoinGlass also reported the largest single liquidation on theHyperliquidplatform. The closed XYZ: SKHX position carried an estimated value of approximately $4. 86 million. That transaction highlighted the impact of leverage during periods of heightened market volatility. Attention has now shifted toward the upcoming United States economic releases scheduled for this week. Markets will receive the latest Consumer Price Index inflation report before additional policy signals emerge. Federal Reserve Chair Kevin Warsh will also deliver testimony that could influence expectations surrounding future interest rate decisions. Risk & affiliate notice:Crypto assets are volatile and capital is at risk. This article may contain affiliate links. Read full disclosure