Bitcoin came under renewed pressure on Friday, falling below $64,000 as escalating tensions between the United States and Iran pushed oil prices higher and strengthened the dollar.
The cryptocurrency dropped as low as $62,466 after failing to hold gains around the $65,000 level. At the time of the latest market snapshot, Bitcoin was trading near $63,155, down about 2.5% for the session.
The decline has put a closely watched support zone around $62,000 in focus. A sustained break below that level could expose Bitcoin to a further slide toward $59,000, according to the technical setup described in the source analysis.
The sell-off came as Iran said it had stopped two tankers attempting to pass through the Strait of Hormuz under US military escort and had turned back four other vessels. Reuters reported that the developments pushed oil prices higher and intensified concerns over energy supplies.
The Strait of Hormuz is a critical route for global energy shipments, meaning any prolonged disruption can raise inflation concerns and increase pressure on financial markets. A Reuters survey also found analysts expect oil prices to remain elevated while Middle East supply disruptions persist.
Higher energy prices can weigh on Bitcoin by increasing inflation expectations and potentially supporting tighter monetary policy, while a stronger US dollar can add further pressure to risk-sensitive assets.
From a technical perspective, Bitcoin has fallen below its seven-day and 25-day simple moving averages, around $63,445 and $64,488 respectively. The cryptocurrency also remains below its 50-day and 200-day averages, reinforcing the broader bearish trend.
Bitcoin has yet to break decisively below the wider trading range between roughly $58,000 and $67,000. However, a sustained move under $62,000 would weaken the structure and increase the risk of a test of lower support.
The four-hour chart also shows a potential rounded-top formation. Bitcoin climbed from around $59,000 to a July peak near $66,700 before forming a series of lower highs.
The neckline of the pattern is concentrated around $62,000-$63,000. A confirmed four-hour close below that area could strengthen the bearish setup and put the $59,000 region back in focus.
Momentum indicators are also leaning bearish. The four-hour MACD has moved below its signal line, while the Stochastic RSI has fallen into oversold territory.
That oversold reading could leave room for a short-term rebound, particularly if buyers defend the $62,000 area. A recovery above roughly $63,445 and $64,488 would begin to ease immediate selling pressure, while a move above $65,500 would challenge the bearish setup.
Liquidity around $62,000 could prove especially important. A brief break below the level could trigger liquidations among leveraged traders before buyers attempt to push Bitcoin higher again.
The main external risk remains the trajectory of the US-Iran conflict. Further escalation involving US forces, energy infrastructure or shipping through the Strait of Hormuz could keep oil prices elevated and extend the broader risk-off pressure on Bitcoin.
Conversely, signs of de-escalation or safer passage for vessels through Hormuz could ease energy-market fears and give Bitcoin room to stabilize.