President Donald Trump confirmed on July 8 that Iran had formally requested to continue diplomatic talks with the United States, and that American negotiators would oblige. The catch: Trump simultaneously declared that the existing ceasefire, or memorandum of understanding, between the two nations is “over.”
Bitcoin fell more than 3% on the day, trading near the $61,480 to $61,691 range as investors scrambled to reprice risk. Ethereum and XRP also declined, dragged down by the same wave of geopolitical anxiety.
What happened and why it matters
The immediate trigger was a series of Iranian attacks on commercial vessels in the Strait of Hormuz, the narrow waterway through which roughly a fifth of global oil supply passes daily. The US responded with retaliatory military strikes, effectively ending a fragile truce that had been in place since April 2026.
That ceasefire had started as a modest two-week agreement before being extended indefinitely, with Pakistan playing a mediating role.
