Bitcoin Stands Strong at $71,000 as Trump Warns of Attacks on Iran’s ‘Crown Jewel’

Bitcoin (BTC-USD) is showing serious strength this weekend, staying steady near $71,000 despite a massive flare-up in the Middle East. Late Friday, the U.S. launched a heavy bombing raid on Kharg Island, which is Iran’s main hub for shipping oil. While the price of Bitcoin dipped briefly on the news, it quickly recovered. This shows that crypto investors are becoming more used to war headlines and aren’t panic-selling like they used to.

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Trump Spares Oil Hub “For Reasons of Decency”

President Donald Trump announced on Truth Social that the U.S. military had “totally obliterated every military target” on the island. However, he made a point to say he chose not to hit the actual oil infrastructure yet. He called Kharg Island Iran’s “crown jewel” because it handles about 90% of the country’s oil exports. Trump warned that if Iran keeps blocking ships in the Strait of Hormuz, he will “immediately reconsider” this decision and target the oil facilities next.

Oil Markets See Record-Breaking Chaos

The war is causing what experts call the largest energy supply disruption in history. Because the Strait of Hormuz is effectively closed, oil prices have spiked as high as $100 a barrel. In response, the International Energy Agency (IEA) has agreed to release 400 million barrels of oil from emergency reserves, the biggest move of its kind ever made. Even with this extra supply, prices remain high because traders fear Iran might retaliate by attacking other oil sites in the region.

The Fed Meeting Becomes the Next Big Test

Now that Bitcoin has proven it can survive war headlines, all eyes are turning to the Federal Reserve meeting on March 17-18. Usually, investors expect interest rates to stay the same, but the high price of oil is changing the conversation. If oil stays above $100, it could cause inflation to rise again. This might force the Fed to keep interest rates high for much longer than people wanted.

In the past, war usually makes people sell Bitcoin and buy gold. But this week, Bitcoin is up 4.2% while gold has actually dropped. This suggests that some investors are starting to see Bitcoin as a digital safe haven that can hold its value even when the world feels unstable. If Bitcoin can finally break past its $73,000 resistance level after the Fed meeting, it could be the start of a much larger run-up toward new all-time highs.

At the time of writing, Bitcoin is sitting at $70,733.20.

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