President Trump stood at a NATO summit in Ankara on July 8 and did what markets had been dreading for weeks: he declared the ceasefire with Iran officially over. He called Iranian leadership “scum” and said dealing with them was a “waste of time.” Brent crude responded by spiking as much as 7%. Bitcoin responded by dropping below $62,000. Global equities fell across the board.

What happened and how fast it moved

Brent crude oil surged between 5.3% and 7%, with benchmarks touching $78 a barrel. The prior ceasefire had been in place since April 2026, brokered by Pakistan and extended indefinitely by Trump himself on April 21. That agreement had represented one of the more surprising diplomatic wins of the year, bringing a period of relative calm after a series of US-Iran airstrikes earlier in 2026.

The Strait of Hormuz, through which a massive share of the world’s oil supply flows, is back at the center of geopolitical anxiety. Equities around the world declined as investors shifted into risk-off mode.

Bitcoin caught in the crossfire

Bitcoin fell below $62,000 immediately after Trump’s declaration, dragged down by a combination of rising risk aversion and a strengthening US dollar.

The diplomatic backdrop

Even as Trump declared the ceasefire over and insulted Iranian leadership, he noted the possibility of continued discussions with Iranian officials. He remained skeptical about whether talks would go anywhere, but the door was not slammed completely shut.

The situation represents a dramatic reversal from earlier in 2026, when the Pakistan-mediated ceasefire was seen as a genuine step toward longer-term stability. That agreement had helped oil prices moderate and had removed one layer of geopolitical premium from energy markets.