Bitcoin Holds Near $78K as Iran Tensions Lift Oil Prices

Bitcoin remained resilient during Asian trading on Monday as renewed geopolitical tensions between the United States and Iran pushed oil prices higher and weighed on stocks and gold.

Bitcoin (BTC) traded around $77,580, little changed from midnight UTC, according to CoinDesk data. The cryptocurrency has gained about 23% in August, significantly outperforming gold’s 9% advance and the Nasdaq’s roughly 4% increase.

Oil prices climbed after U.S. forces attacked an Iranian island in the Strait of Hormuz, a crucial route for global energy shipments that has faced disruptions since the conflict began six months ago. Iran subsequently launched retaliatory action.

WTI crude futures rose nearly 2% to $85.10 a barrel, while Brent crude gained 1.9% to $92.39, TradingView data showed. Meanwhile, gold declined 0.8% to $4,418 per ounce, Nasdaq futures fell 0.5%, and Asian equity markets broadly weakened.

Other major cryptocurrencies underperformed bitcoin. XRP slipped 0.8%, while Solana (SOL) declined 0.6%.

Bitcoin’s relative strength has been supported by robust inflows into U.S. spot Bitcoin ETFs and expectations surrounding Federal Reserve policy. However, those expectations shifted after Fed Chair Kevin Warsh delivered hawkish remarks at the Jackson Hole Symposium on Friday.

Warsh said inflation remains insufficiently controlled and argued that financial conditions are not restrictive enough. His comments prompted markets to increase expectations for tighter monetary policy.

MUFG FX strategist Lloyd Chan said markets now see a 58% probability of a September interest rate hike and are pricing approximately 1.5 increases by the end of 2026.

Crypto analysts remain cautious despite bitcoin’s August rally. Vikram Subbaraj, CEO of India-based Giottus exchange, advised investors to limit aggressive leverage amid persistent macroeconomic uncertainty.

Bitcoin currently has immediate support around $77,000, while the $79,400 to $80,800 area represents a key resistance zone. Traders are also watching the September 4 U.S. jobs report, which could influence expectations for Federal Reserve interest rates and determine bitcoin’s next major move.