U.S. Vice President J.D. Vance said after lengthy talks that the two sides had not reached an agreement because Iran had chosen not to “accept our terms.”
Bitcoin’s price immediately fell, plummeting from a three-week high of over $73,500 to below $71,500. On Tuesday morning, the cryptocurrency soared from $68,000 to nearly $73,000 after US President Donald Trump announced a two-week cease-fire.
It fell over the next few days, but remained above $70,000 before rising to $73,700 by the end of the week. But the failure of the peace talks has resurfaced the uncertainty that has dominated every market move over the past month and a half.
Vice President Vance added that the United States needs to see a “fundamental commitment” from Iran to abandon its nuclear weapons strategy. In contrast, Iran’s Foreign Ministry called the talks “intensive” but urged the United States to refrain from “excessive or illegal demands.”
The Kobessi Letter also comments on developments from a market perspective. Analysts expect oil prices to rise again and stocks to fall as markets open. They added that the Nasdaq 100, already up 5% this weekend on hopes for a peace deal, could collapse again due to a “worst-case scenario.”
The question now is whether the president will choose to “push harder for a deal and reassure markets, or step up military operations in Iran,” which would likely lead to further volatility and correction in most assets.
