BTC USD price today: Bitcoin falls below $80,000 amid US–Iran tensions and why crypto traders rush to lock in profits after 37% rally

Bitcoin BTC USD price drop today reason: Bitcoin’s momentum cooled on Thursday as the market slipped back below the $80,000 level, with traders reacting to a mix of geopolitical tension and profit-taking after the recent rally.

BTC USD Price Today: Bitcoin Drops Below $80,000 as Traders React to Geopolitical Tensions

The cryptocurrency is trading near $79,840 at the time of writing, after briefly reaching around $81,705 earlier in the session. The move pulled prices away from levels above $81,000 and back toward a key support area.

US–Iran Negotiation Uncertainty Weighs on Risk Sentiment

One of the main factors behind the cautious mood was renewed uncertainty around US–Iran negotiations. Iranian official Mohsen Rezaei rejected parts of a US proposal tied to reopening the Strait of Hormuz, calling it “unrealistic” and demanding reparations for war damage, as per a Coinpaper report.


The Strait remains important for global oil shipments, and any disruption there is closely watched because it can affect energy prices and broader risk sentiment.

Strait of Hormuz Dispute Keeps Markets on Edge

The talks are still ongoing, with reports suggesting a possible framework that includes sanctions relief, limits on uranium enrichment, and steps to reopen the Strait. But disagreements over conditions have kept markets cautious, especially after earlier optimism had supported Bitcoin and other risk assets.

Profit-Taking Intensifies After Bitcoin’s 37% Rally

Bitcoin’s pullback also reflects traders locking in gains after a strong upward move. On-chain data showed realized profits rising to 14,600 BTC on May 4, the highest since December 2025, as per the Coinpaper report. The Short-Term Holder SOPR moving above 1 indicated that newer buyers were selling at a profit.

This comes after Bitcoin climbed roughly 37% from early April lows. Unrealized profit margins reaching about 18% also suggested conditions where more holders may choose to take profits.

Even with the decline, broader market signals have not shown a sharp breakdown. Perpetual futures demand remains active, spot demand has held up, and exchange inflows remain relatively muted compared to previous sell-off periods.

Key BTC USD Price Levels to Watch

Technically, Bitcoin is now sitting in an important range. The $79,000 to $80,000 zone is acting as immediate support, while a drop below it could bring $73,000 to $74,000 back into focus, as per the Coinpaper report.

On the upside, Bitcoin is facing resistance near its 200-day exponential moving average, around $82,162, as it struggles to hold above the $80,000–$82,000 region. Traders are also watching $86,500 as the next major level, with higher targets near $90,000 to $92,000 if momentum returns, as per the Coinpaper report.

FAQs

Why did Bitcoin fall below $80,000?
Bitcoin slipped due to profit-taking and renewed geopolitical uncertainty.

Why do the US–Iran talks matter for Bitcoin?
They affect global risk sentiment and energy markets.