Bitcoin Slides Under $84K as Iran Tanker Attacks Lift Oil Prices

Bitcoin fell below $84,000 early Wednesday as renewed selling pressure hit crypto markets while crude oil climbed above $100 a barrel following increased Iranian attacks on tankers in the Strait of Hormuz.

BTC was down roughly 1.5% at just over $84,200 during Asian trading. Higher oil prices also coincided with rising Treasury yields and a stronger U.S. dollar, adding pressure to risk assets.

DOGE was the weakest major cryptocurrency, losing 5% to trade near 9 cents. HYPE dropped almost 4% to around $91, while ether declined 3.5% to approximately $2,610. XRP was down nearly 3% at about $1.46. BNB, SOL, ZEC and TRX each declined between 1% and 2.5%, according to CoinDesk data.

Bitcoin had traded around $86,600 on Tuesday before falling sharply in the early hours of Wednesday. The sell-off pushed BTC to roughly $83,840, below the $84,000 level that FxPro had previously identified as “a victory for the bears.”

The market is also awaiting minutes from the Federal Reserve’s September meeting, scheduled for release later Wednesday. The Fed increased interest rates by 25 basis points at that meeting. Weaker employment figures have since reduced expectations for another hike this month, LVRG Research chief analyst Dan Khus said in an email to CoinDesk.

“The market had already priced in that hike, so traders are now looking at whether the notes sound patient or still point to one more increase before the end of the year,” Khus said.

Brent crude rose nearly 1% to around $101.50 a barrel as Iran stepped up attacks on tankers. The dollar gained against every Group-of-10 currency, while the 10-year Treasury yield increased three basis points to 5.31%.

Asian equities also weakened despite record finishes for the S&P 500 and Nasdaq 100 on Wall Street. The MSCI Asia Pacific index fell 0.6%, led lower by technology stocks in South Korea and Hong Kong. U.S. stock futures also reversed earlier advances.

Bitcoin remains about $1,200 above $83,000, the level FxPro says would confirm that sellers have taken control. A break below that threshold could pave the way for a decline toward $80,000, according to the firm.