Crypto market treads thin ice following Warsh FOMC, Trump Iran comments
US stocks pulled back after Trump said the Iran memorandum was not final, keeping concerns alive that Strait of Hormuz oil flows could stay disrupted and add to inflation. Although Brent crude fell to a 100-day low and a formal US-Iran signing is expected Friday, traders remain cautious about how quickly energy prices and bond yields will ease. Higher inflation worries are also weighing on risk assets. US retail sales rose 6.9% from May 2025, but much of the increase may reflect higher prices, and Treasury yields stayed near 4.16% as markets doubt the Fed can cut rates soon. The Nasdaq-100 remains close to highs, but Bitcoin has struggled to stay above $80,000 since mid-May. Bitcoin sentiment is weak because spot ETF inflows have dried up, Coinbase has traded at a discount to international exchanges for five weeks, and June has seen $2.1 billion in ETF outflows. Weakness in Strategy’s preferred shares has added to concerns about leverage, though there is no clear sign it must sell Bitcoin.
