Bitcoin (BTC) has taken a big hit in the last 24 hours. According to CoinGecko’s BTC data, the asset fell to a low of $70,147 earlier today. BTC’s price has slumped by 3.7% in the last 24 hours and 8% in the last week. The asset seems to have found some support at the $70,000 price level. Bitcoin’s price crash comes after talks between the US and Iran failed yet again. The Strait Of Hormuz was stated to be closed off once again. Let’s discuss what could happen next.

Will Bitcoin Continue Crashing After US-Iran Peace Talk Failure?

The US-Iran conflict has had significant consequences on the global economy. Inflation in the US came in higher than expectations in May. High inflation numbers triggered the first wave of Bitcoin’s (BTC) price crash. The latest peace talk failure between the US and Iran has reignited chances of further crude oil price hikes. higher oil prices could drive inflation even higher. Investors may move further away from high-risk assets, such as Bitcoin (BTC) and other cryptocurrencies.

The possibility of the war re-escalating may cause the Federal Reserve to keep rates unchanged, if not increase them. Higher rates may further push investors away from Bitcoin (BTC) and the larger cryptocurrency market.

Analysts have shown that Bitcoin has not performed well as a hedge during the current financial crisis. Due to the asset’s diminishing effectiveness as a hedge, billionaire Mark Cuban recently sold almost all of his BTC. More investors may join Cuban in the coming weeks.

Also Read: These 3 Cryptocurrencies Hit New All-Time Highs On June 1 2026

There is some hope that the CLARITY Act could bring some positive price action if passed into law. The legislation could ease investor discomfort. It could also lead to a surge in market confidence. Bitcoin could recover under such circumstances.