Bitcoin had a clean shot at $80,000 overnight, and by the time New York opened, it was already in retreat.
The reversal happened with no breaking headline, which means short-term holders simply started taking profits into the rally as oil ripped back above $107. That combination was enough to kill the move.
Iran reportedly proposed reopening shipping in the Strait of Hormuz in exchange for ending the war and pausing nuclear talks, which was the bullish piece markets latched onto overnight.
The bearish piece arrived Saturday, when President Trump canceled a planned U.S. delegation trip to Pakistan for negotiations and told Iran on social media to call him directly if it wanted a deal. Brent crude jumped on the news, and by Monday's session it was up more than 3% on the day to $107 a barrel.
When oil moves like that, risk-on assets tend to wobble, and bitcoin wobbled with them.
Bitfinex analysts pointed to short-term holders as the source of the selling, which are wallets that bought bitcoin in the past few months and were sitting on gains from the recent rally.
ETF buyers and Strategy - the corporate buyer formerly known as MicroStrategy - kept buying, but it wasn't enough to absorb the profit-taking.
The CoinDesk 20 index fell about 2%, with ether, XRP, and solana each dropping around 3% on the day.
Crypto-linked equities sold off alongside the tokens, with Coinbase falling 1.5% while USDC issuer Circle dropped 3.5% and Galaxy Digital slid nearly 6%.
The Nasdaq edged 0.3% lower in morning trading, while the S&P 500 was flat ahead of a big tech earnings week that includes Alphabet, Meta, Microsoft, and Apple.
Bitfinex analysts said a "decisive break above $80,000" is needed to confirm the next leg up, and below that line, expect consolidation or a drift toward $75,000.
For now, the path of bitcoin is tied to the path of crude.