Oil prices plunged over 11% after a major geopolitical de-escalation between the US and Iran. The announcement that the Strait of Hormuz would reopen triggered a rapid sell-off in USOIL, pushing it below $80 per barrel. Reports indicate a $760 million short position was placed just minutes before the news became public, echoing previous suspicious trades. Concurrently, Bitcoin briefly surged to a ten-week high above $78,000 following the announcement.
Oil prices crashed minutes after the United States and Iran announced a major de-escalation. The Strait of Hormuz, a crucial oil transit route, was declared fully reopened for commercial vessels.
USOIL, trading near $90 per barrel, dumped to a five-week low under $80. The drop represented a loss of over 11% in a matter of minutes.
Data shows investors sold a combined 7,900 lots of Brent crude futures in a single minute before the statement. A $760 million short position was reportedly placed just 20 minutes prior.
Iran’s foreign minister stated on X that the passage was reopened for the remaining ceasefire period. This follows a pattern of similar pre-announcement trades linked to Middle East events.
Bitcoin tapped a ten-week peak above $78,000 in the immediate aftermath of the news. However, Iran later denied several other claims made by US officials.
