Why Are Bitcoin and Ethereum Prices Dropping Again?
Bitcoin and Ethereum prices have again dropped more than 2%today afterU. S. President Donald Trump declared the ceasefire with Iran was “over. ”This came after the U. S. launched strikes in response to Iran’s. . .
Bitcoin and Ethereum prices have again dropped more than 2%today afterU. S. President Donald Trump declared the ceasefire with Iran was “over. ”This came after the U. S. launched strikes in response to Iran’s attacks on three commercial vessels in the Strait of Hormuz. Following this news, as oil jumped 6%, Bitcoin fell to $61,700, and Ethereum slipped below $1,740. Speaking at the NATO summit, U. S. President DonaldTrump saidthe ceasefire agreement with Iran was now finished. “To me, I think it’s over. I don’t want to deal with them anymore. Dealing with Tehran is a waste of time. ”According to the U. S. military, more than 80 targets were hit after Iran attacked three commercial vessels passing through the Strait of Hormuz, including ships linked to Qatar and Saudi Arabia. Iran quickly responded by accusing the U. S. of violating the agreement. Parliament Speaker Mohamad Bagher Ghalibaf said the U. S. had broken the ceasefire agreement by launching fresh attacks, bringing back oil sanctions, and continuing military action in the region. Major MOU Violations by the US:Violating Iranian adjustments in the StraitPersistent threats of further strikesReinstating oil sanctionsAttacks on southern IranContinued Zionist aggression on🇱🇧The era of bullying and extortion is over. It leads nowhere. We don’t fold. — محمدباقر قالیباف | MB Ghalibaf (@mb_ghalibaf)July 8, 2026Also Read :Bitcoin (BTC) Price Prediction 2026, 2027 – 2030Stablecoin Supply Adds More PressureThe U. S. -Iran conflict is not the only reason behind theBitcoin price drop. Stablecoins, which are often called the cash of the crypto market, have seen a shrink in the cash flow. Since 2020, Bitcoin has gained an average of 5. 2% in 30 days and 18. 9% in 90 days when the stablecoin supply was growing. But when the supply shrank, those gains dropped to 1. 1% and 8. 4%Since its $321 billion peak, stablecoin supply has fallen about 4. 4%. During the 2022-23 bear market, stablecoin supply dropped 34%, while Bitcoin lost 43%. For now, the drop is much smaller than in 2022, and trading is slowly improving. But if stablecoin supply keeps falling, Bitcoin could see more selling and further price declines. Bitcoin Will Drop To $56. 5KAnalyzing the recent market conditions, well-known crypto analyst Ali Martinez said Bitcoin is still trading inside a descending channel on the four-hour chart after facing rejection near the upper resistance around $63,600. He says that, if selling pressure continues, “Bitcoin could trigger a pullback toward $59,700, with $56,550 as the next downside target. ”Bitcoin$BTCis getting rejected at the top of its channel. This could trigger a pullback toward $59,700, with $56,550 as the next downside target. pic. twitter. com/GvI9fMFQbD— Ali Charts (@alicharts)July 8, 2026However, if Bitcoin reclaims $63,600 with strong buying volume, it could invalidate the bearish setup and signal the start of a bullish move. Loading profile previewLoading profile previewStory Ends HereTrust with CoinPedia:CoinPedia has been delivering accurate and timely cryptocurrency and blockchain updates since 2017. All content is created by our expert panel of analysts and journalists, following strict Editorial Guidelines based on E-E-A-T (Experience, Expertise, Authoritativeness, Trustworthiness). Every article is fact-checked against reputable sources to ensure accuracy, transparency, and reliability. Our review policy guarantees unbiased evaluations when recommending exchanges, platforms, or tools. We strive to provide timely updates about everything crypto & blockchain, right from startups to industry majors. Investment Disclaimer:All opinions and insights shared represent the author's own views on current market conditions. Please do your own research before making investment decisions. Neither the writer nor the publication assumes responsibility for your financial choices. Sponsored and Advertisements:Sponsored content and affiliate links may appear on our site. Advertisements are marked clearly, and our editorial content remains entirely independent from our ad partners. Read the Next News