Bitcoin Falls to $82.7K as Iran Tensions Rattle Global Markets

Bitcoin has tumbled to $82,700 — its lowest point so far this month — as fresh worries over the Middle East sent shockwaves through global markets.

The trouble began near the Strait of Hormuz, one of the world's most important shipping routes for oil. An Iranian official warned that Iran now controls the strait and will block traffic it considers "illegal." Any disruption here can slow oil supplies to the entire world.

As a result, oil prices jumped sharply:

• Brent crude (a global oil price benchmark) rose to $102 per barrel
• WTI crude (the main US oil benchmark) climbed to $91 per barrel

Higher oil prices worry investors because they can push up inflation (the general rise in prices of everyday goods). This fear hit the bond market hard.

Bond yields hit 24-year highs. A bond is basically a loan you give to the government, and the "yield" is the interest you earn. When investors are nervous, they sell bonds, which pushes yields up:

• The 10-year US bond yield reached 5.36%
• The 30-year US bond yield reached 5.73%

Stock markets also slipped. The S&P 500 (an index tracking 500 big US companies) fell 0.6% to 7,773 points, just after hitting a record high.

Bitcoin itself is struggling to push past $87,000. Analysts point to weak demand. One key sign is Open Interest (the total value of active bets in the futures market), which dropped nearly 10% — from $28.8 billion to $26.0 billion. This means traders are taking fewer risks.

The drop to $83,000 also broke an important support level — the 21-day moving average (an average price over the last 21 days that traders watch closely). Experts now say $69,500 is a level to watch, as it's the average price many short-term holders paid for their Bitcoin.

In short: Middle East tensions lifted oil prices, which spooked bond and stock markets, and dragged Bitcoin down to a monthly low amid already weak demand.

This is an AI-generated summary. Read the original article at: https://cointelegraph.com/markets/bitcoin-price-drops-to-827k-october-low-as-bond-sell-off-resumes-on-iran-nerves?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound