Bitcoin jumped after President Donald Trump said he had instructed the Department of War to postpone planned military strikes on Iranian power plants and energy infrastructure for five days.
The announcement, which included a directive to postpone strikes on Iranian power plants and energy infrastructure, sent a wave of relief through risk markets that had been beaten down by weeks of escalating conflict in the Middle East.
Background: Operation Epic Fury
Today’s rally follows weeks of turmoil triggered by Operation Epic Fury, the US and Israeli military campaign launched on February 28, 2026, which targeted Iranian leadership and resulted in the killing of Supreme Leader Ali Khamenei.
That action set off retaliatory strikes across the Middle East and pushed global markets into sustained turbulence. Bitcoin has been trading in a volatile corridor between $66,000 and $76,000 since the operation began, dropping as low as $63,255 in the days following the outbreak of hostilities.
Energy markets and inflation
Energy markets have taken the worst of the disruption. Brent crude has climbed roughly 60% since the conflict’s onset, from approximately $70 per barrel to above $113 by March 20.
The International Energy Agency characterized the resulting supply shock as the most severe oil disruption in recorded history. The closure and threatened blockade of the Strait of Hormuz (Trump issued a 48-hour ultimatum demanding Iran reopen the shipping lane) amplified fears of a prolonged energy shortage.
The Federal Reserve, meeting in March against this backdrop, revised its 2026 inflation forecast upward from 2.4% to 2.7%, reflecting surging energy costs passing through to consumer prices. Policymakers signaled a “higher-for-longer” posture on interest rates.
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