President Donald Trump said the United States will strike Iran “VERY HARD TONIGHT” and later seize Kharg Island, the terminal behind roughly 90% of the country’s crude oil exports.
Immediately after the post on Truth Social, oil prices rose above $91 a barrel. At the same time, Bitcoin’s value dropped below $63,000. Energy traders also began factoring in increased geopolitical risks, leading to higher prices across the energy market.
Trump Targets Kharg Island, Iran’s Oil Lifeline
On Thursday, Donald Trump issued a warning following the resumption of U.S. military strikes against Iran. Iran responded by saying these attacks invalidated their existing ceasefire agreement with the U.S. and has since launched counterattacks on American bases in the area.
“The United States will be hitting Iran… VERY HARD TONIGHT. At some point in the not too distant future, we will be taking Kharg Island, and other oil infrastructure points, and assume total control of their Oil and Gas Markets, much like we have with Venezuela…” Trump wrote in the post.
The Venezuela comparison points to a live template. Washington has controlled Venezuelan crude sales since US forces seized Nicolas Maduro in January.
According to the Council on Foreign Relations, roughly 100 million barrels of oil – valued at around $8 billion – passed through accounts managed in the United States over a four-month period.
Kharg Island is a much more significant strategic asset. According to CFR, it handles the loading of supertankers that transport around 90% of Iran’s oil exports, making it vital to the country’s economy and particularly vulnerable.
Iran has responded by increasing pressure, announcing the closure of the Strait of Hormuz until further notice. However, the US Central Command reports that commercial ships are still able to pass through the waterway.
JPMorgan estimates visible tanker traffic has already fallen to about 15% of pre-war levels.
History also cautions against expecting a clean shutoff. Iraq bombed Kharg repeatedly during the 1980s Tanker War, yet Iran rerouted exports through Lavan and Sirri islands and kept shipping over 1.5 million barrels per day.
Bitcoin Holds Near $63,000 as Oil Snaps Back
Oil prices initially fell throughout Thursday, nearing $90 per barrel, but then rose to $91.75 following a recent update. Meanwhile, Bitcoin dropped to around $62,680 before bouncing back to $62,841, a 0.25% increase for the day, according to data from BeInCrypto Markets.
The recent jump in market instability is similar to what happened when Trump previously announced a ceasefire. Back then, things like Bitcoin, stocks, and oil prices all changed quickly.
Despite recent stability, experts warn that a long-lasting increase in oil prices could still create problems for the cryptocurrency market. This is because higher oil prices can lead to inflation and make investors more cautious, potentially reducing the availability of money flowing into crypto.
Iran continues to explore using cryptocurrency to fund conflicts, even suggesting a Bitcoin fee for ships passing through the Strait of Hormuz.
Whether or not the planned strikes actually happen tonight could decide if oil prices will remain elevated, or if they’ll drop again by the weekend.
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2026-06-11 19:48