President Donald Trump has rejected a seven-day ceasefire proposal put forward by Iran, informing his aides that he anticipates restarting military strikes against the country following the November midterm elections, according to US officials who spoke with the Wall Street Journal.
Because the development broke over the weekend while traditional stock exchanges were closed and oil markets remained shut until Sunday evening US time, Bitcoin—which operates around the clock—was left as the primary asset to react immediately.
What Iran Offered and Why Trump Said No
Iranian Foreign Minister Abbas Araghchi presented the proposal on Thursday at the UN General Anniversary, with Qatar serving as the intermediary delivering it to Washington.
The framework proposed halting combat across all fronts, including Lebanon. In exchange, the United States would terminate its naval blockade on Iranian ports, relax oil sanctions, and return a portion of frozen assets. Iran would subsequently reopen the Strait of Hormuz—the vital maritime corridor used for the export of Gulf oil and gas—allowing nuclear negotiations to resume.
“The moment they accept this plan, from the next day, this timetable can start, and after seven days, the strait will be open,” Aljazeera reported, citing Araghchi.
Washington turned down the overture. Officials informed the Journal that Trump remains skeptical that Iran will satisfy his requirements, and the US has communicated that the naval blockade—which the Journal noted is heavily straining the Iranian economy—will remain in place.
This initiative closely mirrors a previous June 17 agreement that temporarily paused hostilities before ultimately falling apart.
Trump Told the UN the Election Would Not Shape His Iran Policy
Four days prior to the report, Trump addressed global leaders at the UN and brushed aside the impact of the midterms.
“I am not running. I gave absolutely no credence and will not give credence to the election when it comes to Iran. It doesn’t even enter my mind,” Trump said.
During the same address, he accused Tehran of dragging out negotiations to gauge his political standing, adding that he faces a choice between securing an agreement or moving swiftly to “annihilate” the Islamic Republic.
While officials report privately that Trump views a fresh bombing campaign as likely after the vote, he maintains publicly that Tehran will be desperate for a deal following the midterms that strips away its nuclear capabilities.
His stance could still evolve as the conflict continues and final election results come in. The vote is scheduled for November 3, just 38 days away.
Will Oil and Bitcoin Hold After Trump’s Iran Decision?
When US military strikes previously resumed on July 8, Brent crude—the international oil benchmark—climbed more than 3% to reach $76.48 a barrel.
Crude prices are substantially higher now. According to Trading Economics, Brent finished Friday at $104.32, marking about a 36% increase compared to its price on the day strikes resumed in July. At press time, it trades at $101.86.
During Friday’s trading session, Brent contracts dropped 1.15% to $95.95. Simultaneously, Bitcoin experienced a brief drop below $84,000 immediately following the news.
The broader decline occurred earlier in the week, with Bitcoin sliding from above $87,000 on Wednesday to approximately $83,250 on Thursday, where it has hovered just above that mark since.
In previous instances, Bitcoin advanced on signs of peace, rising past $81,000 when Trump considered concluding the conflict.
On Friday, Iran indicated it was still awaiting an official American response, and diplomatic channels through regional intermediaries remain active. The midterm elections, after which Trump is reportedly expected to restart the bombing, are five weeks away.
Frequently Asked Questions
What was Iran’s ceasefire proposal?
Iran proposed a seven-day ceasefire across all fronts, including Lebanon, in exchange for the US lifting its naval blockade on Iranian ports, easing oil sanctions, and returning frozen assets. Following this, Iran would reopen the Strait of Hormuz and restart nuclear talks.
Why did President Trump reject the offer?
US officials stated that Trump doubts Iran will satisfy his demands, and the administration has insisted that the economic-damaging naval blockade will remain in place.
How did financial markets react to the news?
Because the news broke over the weekend when traditional and oil markets were closed, Bitcoin reacted first, briefly slipping below $84,000 following an earlier-week drop from above $87,000 to about $83,250. Brent crude closed Friday at $104.32, though contracts had slipped 1.15% during the Friday session to $95.95.
When are the US midterm elections?
The midterm elections are scheduled for November 3, which is 38 days away from the report’s timeline (and five weeks away from the latest updates).
