Bitcoin Price Continues Sliding as President Trump Signals Iran Escalation, Raising Risk of Drop Toward $60,000

Bitcoin Magazine

Bitcoin Price Continues Sliding as President Trump Signals Iran Escalation, Raising Risk of Drop Toward $60,000

Bitcoin price fell last night after President Donald Trump signaled a potential escalation in military action against Iran, triggering a broad pullback across global markets and raising questions about whether bitcoin price could test lower support levels.

The price of Bitcoin dropped nearly 4% within hours after Trump’s April 1 address, sliding to below $66,000 early April 2. The decline came as investors shifted away from risk assets following remarks that pointed to harder strikes in the coming weeks, with no timeline for de-escalation.

Equity markets also moved lower. The S&P 500 traded in negative territory, while Asia-Pacific equities reversed earlier gains. At the same time, oil prices surged, with Brent crude rising above $106 per barrel as traders priced in the possibility of prolonged disruption in the Strait of Hormuz, a key global shipping route.

The move highlights how closely Bitcoin price is tracking traditional markets during periods of geopolitical stress. 

Data shows the 30-day correlation between Bitcoin price and the S&P 500 has climbed to around 0.75, indicating that institutional investors are treating the digital asset more like a high-growth technology proxy than a hedge.

Bitcoin price resilience 

Bitcoin had shown some resilience in recent weeks, ending March with a modest gain and snapping a multi-month losing streak. However, it remains down roughly 45% from its prior peak above $126,000, and demand indicators suggest continued pressure. 

JUST IN: Bitcoin has closed its first green month after 5 months of red pic.twitter.com/jVMxXp9w2L— Bitcoin Magazine (@BitcoinMagazine) April 1, 2026

From a technical perspective, Bitcoin is now approaching a key support range between $64,000 and $65,000. The level has held through several recent tests, but a break below it could open the door to a move toward $60,000, near the February low, according to Bitcoin Magazine Pro data.

On the upside, resistance sits around $68,000 and $70,000. Analysts say those levels need to be reclaimed to shift sentiment and support a recovery narrative. 

Until then, price action remains constrained by a pattern of lower highs that has developed since March.

Long-term holder data suggests the market may be moving through a late-stage bear cycle. Investors holding Bitcoin for six months or more now control about 80% of supply, approaching levels that have marked past market bottoms. 

Even so, previous cycles indicate that extended periods of sideways trading often follow before a sustained recovery begins.

On top of this, Bitcoin treasury firms and public companies are offloading BTC as prices fall, adding fresh pressure to the market as long-term holders turn into sellers. Companies including Riot Platforms, MARA Holdings, and Genius Group have trimmed holdings this    

Vimal Sharma

Vimal Sharma

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Vimal Sharma

Vimal Sharma

A dedicated blog writer with a passion for capturing the pulse of viral news, Vimal covers a diverse range of topics, including international and national affairs, business trends, cryptocurrency, and technological advancements. Known for delivering timely and compelling content, this writer brings a sharp perspective and a commitment to keeping readers informed and engaged.

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