Brent crude oil prices climbed above $88 per barrel in mid-March 2026, their highest level since October 2024, as escalating tensions near the Strait of Hormuz raised concerns about potential disruptions to one of the world's most important shipping chokepoints. West Texas Intermediate (WTI), the US benchmark, rose to $84.70.
Why the Strait of Hormuz Matters
The Strait of Hormuz, located between Iran and Oman, is a narrow waterway through which approximately 20% of the world's oil supply passes daily. That amounts to roughly 17 million barrels per day. Any disruption to traffic through the strait would have immediate effects on global energy prices and supply chains.
The current tensions stem from increased naval activity in the region, with Iranian military vessels conducting exercises in the waterway and the United States maintaining a carrier strike group in the Arabian Sea. While direct conflict has been avoided, shipping insurance premiums for vessels transiting the area have risen by approximately 40% since January 2026.
Impact on Petrol and Energy Prices
Higher crude oil prices feed through to consumer costs with a lag of approximately two to four weeks. In the United Kingdom, the average price of petrol rose to 148 pence per litre in March, up from 141 pence in January, according to the RAC Fuel Watch. In the United States, the national average for a gallon of regular petrol reached $3.38, according to the AAA Gas Prices tracker.
Natural gas prices have also been affected, though less directly. European gas prices, measured by the Dutch TTF benchmark, remained elevated at approximately 42 euros per megawatt-hour, partly reflecting concerns about energy security more broadly.
OPEC+ Production Decisions
The Organisation of the Petroleum Exporting Countries and its allies, known as OPEC+, have maintained production cuts totalling approximately 2 million barrels per day since late 2024. Saudi Arabia, the group's de facto leader, has signalled that it favours keeping prices in the $80-$90 range, which is high enough to fund domestic investment programmes but not so high as to destroy demand.
The next OPEC+ ministerial meeting is scheduled for April 2026. Analysts at JP Morgan expect the group to begin gradually unwinding cuts in the second half of the year if prices remain above $85.
How Oil Prices Affect Crypto Mining
Rising energy costs have an indirect but measurable effect on cryptocurrency mining operations. Many large-scale Bitcoin mining facilities rely on cheap electricity, and higher fuel costs can increase electricity prices in regions dependent on gas or oil-fired power generation. This dynamic was visible in 2022, when miners in Texas and Kazakhstan faced margin compression as energy prices spiked.
Some mining companies have responded by relocating operations to regions with abundant renewable energy, particularly hydroelectric power in Scandinavia and Iceland, or solar power in parts of Australia and the Middle East.
For live oil price data, visit OilPrice.com or Trading Economics.