Bitcoin News: Bitcoin Surges Past $82,000 After Trump Rejects Iran Peace Deal — Senate Votes This Week Could Push Higher

Bitcoin surged past $82,000 on Sunday after US President Donald Trump rejected Iran's counteroffer to a peace deal, triggering a sharp whipsaw in price that liquidated nearly $64 million in short positions and underscored BTC's continued sensitivity to geopolitical headlines — even as it has quietly outperformed almost every major asset class since the conflict began. What happened: a 45-minute dip then a 2.3% surge Bitcoin fell from $81,430 to $80,520 within 45 minutes of Trump posting "I don't like it — TOTALLY UNACCEPTABLE" on Truth Social in response to Iran's counteroffer. The proposal had included demands for US war reparations and the unfreezing of blocked Iranian financial assets. Trump's flat rejection dashed hopes of an imminent end to the conflict, briefly unsettling risk assets before Bitcoin reversed sharply — climbing nearly 2.3% to $82,347 less than three hours later, according to CoinGecko data. The whipsaw move triggered a short squeeze. Nearly $64 million worth of short positions were liquidated over the four hours following Trump's post, according to CoinGlass data, adding mechanical fuel to the upside move as forced closures accelerated the rally. Oil markets reacted more directly to the geopolitical escalation, with crude rising 4.6% to $98.7 per barrel on Trump's comments. The Strait of Hormuz — which handles one-fifth of global oil trade — has been a source of persistent market disruption throughout the ten-week conflict. S&P 500 futures were up a more modest 0.13% in early trading following the post. Israeli Prime Minister Benjamin Netanyahu added to the dim prospects for a near-term resolution, stating the war would not end until Iran's uranium enrichment sites are fully dismantled. Bitcoin up 29.7% since the war began Despite — or in some ways because of — the ongoing US-Iran conflict, Bitcoin has now risen 29.7% since the war began on February 28, when a US airstrike killed Iran's Supreme Leader Ayatollah Ali Khamenei. Over that same period, Bitcoin has outperformed both the S&P 500 and gold, reclaiming significant ground lost since October's all-time high of $126,080. The resilience positions Bitcoin increasingly as a geopolitical hedge in the eyes of institutional investors — a narrative that has gained traction with each failed peace negotiation. Two Senate events that could move Bitcoin this week Beyond the geopolitical backdrop, 10x Research CEO Markus Thielen told Cointelegraph that two US Senate decisions scheduled for this week could provide additional bullish momentum for Bitcoin. The first is Monday's Senate vote on Kevin Warsh's confirmation as Federal Reserve chair. Warsh is widely regarded as more hawkish on inflation than outgoing chair Jerome Powell — a stance that would ordinarily concern risk asset markets. But Thielen argued that the confirmation itself, regardless of Warsh's policy leanings, would remove the uncertainty overhang that has weighed on markets during the leadership transition period. A smooth handover avoids the policy ambiguity that typically pressures risk assets. The second catalyst is Thursday's Senate Banking Committee markup of the CLARITY Act. Thielen described it as the "most significant piece of crypto legislation in years," adding that it could be a "turning point for regulatory certainty across digital assets." The CLARITY Act addresses the longstanding question of how digital assets are classified and regulated — a question that has created institutional friction around crypto allocation for years. "Both events lean bullish for Bitcoin," Thielen said. "Regulatory clarity reduces institutional friction, and a smooth Fed leadership transition avoids the policy uncertainty that typically pressures risk assets." The week ahead Bitcoin enters the week holding above $80,000 with geopolitical tension keeping volatility elevated, a short squeeze already clearing out near-term bearish positioning, and two Senate decisions that could meaningfully shift the regulatory and monetary policy backdrop. Add Monday's CPI inflation data and Tuesday's PPI release — both capable of repricing Fed rate expectations in either direction — and the next five trading days may be among the most consequential for Bitcoin's price trajectory since the conflict began.