Iran has again closed the Strait of Hormuz, citing Israel’s violation of the ceasefire agreement, which Iran and the U.S. signed earlier this week. Bitcoin slightly retraced on the back of this development, even as it continues to trade above the psychological $63,000 level.
Iran Announces Closure of Strait of Hormuz
According to Iranian media Tasnim, Iran’s joint top military command has announced that they have closed the Strait of Hormuz following the alleged violations of the ceasefire agreement. They noted that the U.S. has failed to implement the first clause of the agreement.
Furthermore, Iran said that Israel has continuously violated the ceasefire agreement with Lebanon, which has also prompted the closure of the passage of vessels. This development comes less than a day after Israel and Hezbollah reached a ceasefire agreement, which boosted the U.S.Iran peace deal, which both sides signed earlier this week.
The move to close the Strait of Hormuz also follows reports that Israel carried out strikes in South Lebanon on Hezbollah targets despite the renewed ceasefire. It is worth noting that the tensions between Israel and Hezbollah had contributed to the delayed talks in Switzerland between the U.S. and Iran, which were originally scheduled for yesterday.
Meanwhile, the Bitcoin price remained largely unchanged despite Iran’s closure of this major oil chokepoint. The leading crypto is currently trading at around $63,400, down less than 1% in the last 24 hours, according to TradingView data.
JD Vance Says No Proof Of Closure
In an interview on FOX and Friends, U.S. Vice President J.D. Vance said there was no evidence that Iran was closing the Strait of Hormuz. He also claimed that more oil was flowing through this pathway than ever before the Iran war started.
Specifically, he revealed that they got 16 million barrels of oil out of the Strait of Hormuz yesterday. Vance also said that he expects to leave for Switzerland sometime in the next couple of days, signaling there hasn’t been a collapse in the U.S.-Iran deal.
This follows reports that White House envoys Steve Witkoff and Jared Kushner were already in Switzerland for the first round of talks with Iran on a nuclear deal. Meanwhile, Vance expressed optimism that the ceasefire with Iran will hold and noted that they are focused on ensuring that Iran doesn’t build its nuclear program.