Bitcoin price falls more than 1% in an hour after Iran rejects any temporary ceasefire with the US on Tuesday. Oil prices gain back above $114 as Trump’s deadline to strike Iranian energy infrastructure nears.
Iranian media reports explosions were heard on Kharg Island, escalating the ongoing US-Iran war. Ethereum, XRP, Solana, Cardano, and the broader crypto market are plunging, with the Strait of Hormuz remaining closed.
Iran Declines Ceasefire Proposal as the US-Iran War Escalates
Iran rejected a proposal for a temporary ceasefire with the US, Reuters reported on April 7. It claims peace talks could begin only after the US and Israel end their strikes, providing a guarantee they will not resume attacks and offering compensation for damages.
Bitcoin is falling and oil prices are rising as President Trump’s deadline to strike Iranian energy plants at 8 pm ET on April 7 approaches.
Indirect US-Iran talks are still ongoing, but progress toward a 45-day US-Iran war ceasefire remains limited. Iran is refusing a temporary truce in exchange for reopening the Strait of Hormuz or giving up its enriched uranium.
Instead, it wants a permanent ceasefire while keeping control of the strait and sharing transit fees with Oman. The US has also rejected peace plans proposed by mediators. President Trump has warned of imminent strikes on Iranian infrastructure if the Strait of Hormuz isn’t reopened.
Meanwhile, the IRGC warned that if Trump carries out his threat to attack power plants and bridges, they’ll deprive the U.S and its allies of oil and gas for years.
Also, Iranian media reported explosions on Kharg Island. This is the island that handles 90% of Iran’s oil. The last time it was bombed was by Saddam Hussein in the 1980s.
Reports indicate Iran’s Kharg Island, a key oil export hub, was hit by multiple strikes. pic.twitter.com/EHVPHbEvFo
— Open Source Intel (@Osint613) April 7, 2026
Bitcoin Price Tumbles
Bitcoin price dropped more than 1% in just an hour after Iran rejected a ceasefire with the US and explosions were heard on Kharg Island. BTC is trading 2% lower over the past 24 hours, currently trading at $68,264.
The 24-hour low and high are $68,069 and $70,305, respectively. Furthermore, trading volume has decreased by almost 5% over the last 24 hours, indicating a decline in interest among traders as Trump’s deadline approaches.
CoinGlass data also showed massive selling in the derivatives market. At the time of writing, the total BTC futures open interest fell 1.21% to $48.50 billion in the past hour. The 24-hour BTC futures OI tumbled 3.69%, with more than 5% jump on CME and over 5% slump on Binance and other crypto exchanges.
