Bitcoin Rallies After Trump Rules Out Iran Strikes

Bitcoin rebounded to a 24-hour high of $83,418 on Friday following an announcement from Donald Trump that the United States would not launch military strikes against Iran before the November 3 midterm elections. The president, posting via Truth Social, described recent discussions with Iran as productive, though he confirmed the U.S. blockade would remain in full force.

The announcement eased geopolitical tensions that had previously triggered a cryptocurrency sell-off and pushed West Texas Intermediate crude oil futures from $89 to $93.20. While the overall cryptocurrency market capitalization rose to $2.8 trillion, results remained mixed; Bitcoin traded roughly 1% higher, while Ethereum fell 1.3% to $2,496.23. Market activity was further influenced by low expectations for a Federal Reserve interest rate hike in October.

Volatility was compounded by cryptographic concerns. Ethereum Foundation researcher Justin Drake warned that AI could weaken elliptic-curve cryptography, prompting some investors to move assets to new wallets. While Ethereum co-founder Vitalik Buterin acknowledged the mathematical risk, Coinbase cryptographer Yehuda Lindell dismissed the immediate threat as unfounded. In a related move, Starknet announced plans to potentially leave Ethereum to become quantum-resistant by 2027, triggering a 29% overnight surge for the STRK token.