The fragile détente between Washington and Tehran lasted about three weeks. On July 8, 2026, President Donald Trump declared a recently signed interim memorandum of understanding with Iran “over” following US airstrikes on more than 80 Iranian targets. Brent crude surged over 5% intraday, approaching $76 per barrel, and the ripple effects hit crypto markets almost immediately.
Bitcoin slid to the $62,000-$63,000 range as traders digested the news. Ethereum dipped to around $1,743-$1,776, and Solana dropped 5%. The broader crypto market declined roughly 1.24%, a modest number on its face but one that masks sharper pain in altcoins and leveraged positions.
What the deal was, and why it died
Between June 14 and June 18, the US and Iran had signed an interim MOU designed to allow toll-free commercial passage through the Strait of Hormuz for 60 days. The Strait handles approximately 20% of the world’s oil and LNG trade. When renewed clashes erupted on July 7, any pretense of cooperation evaporated within hours.
Trump’s declaration the following day removed whatever ambiguity remained. The 60-day window was supposed to give diplomats room to work. It gave them roughly 20 days before the whole thing collapsed.
