Oil Price Crater on Reports that G7 Could Release 400 Million Barrels: Crypto Market Reacts

Oil prices sank as new reports indicate a potential release of as much as 400 millio barrels by G7 countries.

Global markets have been under serious turmoil over the past week amid the ongoing war between Iran, the US, and Israel. The military conflict has broader geopolitical and economic implications, with many countries already feeling the consequences.

As CryptoPotato reported earlier, crude oil prices skyrocketed earlier on Sunday evening, reaching almost $120 per barrel. This resulted in considerable volatility in stock futures and crypto markets, which were falling as it was happening. But new reports are shifting the tides.

New Reports Send Oil Prices Sinking

As reported by the Financial Times, members of the G-7 are to discuss a joint release of oil reserves on Monday during an emergency meeting. Citing sources familiar with the matter, the report says the call is scheduled for around 13:30 CET and was initiated by France.

US oil prices fell immediately after the news broke and sank to as low as $101 per barrel within hours.

Commenting on the matter, the Kobeissi Letter said:

US Oil prices are currently attempting one of their biggest reversals in history. […] US oil prices are nearing $100/barrel and now up 12% on the day, erasing more than half of their daily gain.”

Bitcoin Prices Attempt a Recovery

After tanking to an intraday low of around $65,600, Bitcoin’s price is attempting a recovery, currently trading at $67,400. The cryptocurrency rose to as high as $68,000, but buyers couldn’t sustain the move.

Oil prices have significant implications across multiple markets, and crypto is no exception. Being largely considered a volatile risk-on segment, prices often react negatively to economic turmoil.

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At the time of this writing, the total market capitalization stands at $2.38 trillion, up 0.2% in the past 24 hours, according to CoinGecko.