Bitcoin fell below $62,000 on Wednesday after renewed conflict in the Middle East rattled global markets, with traders rushing to price in rising geopolitical risks after US President Donald Trump declared the Iran ceasefire was "over."

The world's largest cryptocurrency briefly slipped to around $61,500 after Trump made the remarks during the NATO summit in Ankara, Turkey. The decline came as reports suggested both the US and Iran were considering actions that could disrupt the Strait of Hormuz, one of the world's most important oil shipping routes, sending investors away from risk assets.

Oil surge puts Bitcoin's key support under pressure

The threat of renewed disruption to the Strait of Hormuz pushed US WTI crude above $75 per barrel, its highest level since June 22, as traders weighed the potential impact on global energy supplies.

The geopolitical shock also shifted expectations for US monetary policy. Data from CME Group's FedWatch Tool showed markets increasing the odds of a Federal Reserve interest-rate hike at its September meeting, although most traders still expect rates to remain unchanged in July. Prediction market Kalshi also priced the probability of a rate hike in 2026 at roughly 55%.

With macro uncertainty rising, crypto analysts said Bitcoin could revisit one of its most important technical levels.

Crypto trader Michaël van de Poppe said the $61,000 region remains the "crucial" support for Bitcoin's current market structure. While he expects a possible retest of that level, he suggested markets could quickly recover if diplomatic negotiations resume over the coming days.

Other traders also viewed the latest pullback as a potential accumulation opportunity, arguing that renewed geopolitical tensions interrupted Bitcoin's attempt to reclaim previous resistance but have yet to invalidate its broader market structure.

For now, traders remain focused on whether Bitcoin can defend the $61,000 level as oil prices, geopolitical developments and expectations for US interest rates continue to drive market sentiment.