UAE Exits OPEC After 59 Years; Bitcoin Drops Under $76K

The United Arab Emirates officially withdrew from OPEC and the OPEC+ alliance, ending 59 years of membership and removing the cartel’s third-largest producer. The state news agency published the notice on April 28 and set the exit date as May 1. Cryptocurrency markets reacted within hours, with bitcoin falling below $76,000 on the same day.

WAM, the UAE’s official news agency, framed the decision as aligned with national priorities and a shift in energy strategy. The statement said the move reflects the country’s “long-term strategic and economic vision and evolving energy profile, including accelerated investment in domestic energy production.” Energy Minister Suhail Al Mazrouei described the withdrawal as a sovereign national decision taken after an internal review. WAM added that the UAE will act responsibly and bring additional production to market “in a gradual and measured manner, aligned with demand and market conditions,” and that it “reaffirms our appreciation for the efforts of both OPEC and the OPEC+ alliance.”

Markets moved sharply after the announcement. Bitcoin had traded near a weekly high of about $79,486 before the news and hit an intraday low of $75,674 on Bitstamp on April 28. Major altcoins declined and total cryptocurrency market capitalization fell as traders stepped back from risk positions.

The announcement came amid ongoing disruptions in the Strait of Hormuz tied to the Iran conflict, now in its ninth week. The strait is a key shipping channel, handling about one-fifth of global oil and liquefied natural gas trade. Analysts estimate that between 9 million and 13 million barrels per day of regional output have been affected by the disruptions.

Oil prices rose on supply concerns, with Brent crude trading above $110 and West Texas Intermediate moving past $100 at certain points. After the UAE withdrawal was announced, Brent pared from highs near $110–$111 to roughly $104 and WTI settled near $98 as markets weighed the prospect of increased UAE output if shipping routes stabilize.

Abu Dhabi National Oil Company has expanded capacity plans toward 4.85 to 5 million barrels per day ahead of 2027. OPEC+ production quotas had frequently limited the UAE’s actual output to about 3 million barrels per day, a gap that produced public disputes in prior years. WAM’s statement noted current supply strains in the Arabian Gulf and the Strait of Hormuz while projecting sustained global energy demand over the medium to long term.

Market participants are monitoring oil price paths, any formal response from OPEC, and the pace at which shipping through the Strait of Hormuz can be restored. Traders are also watching how quickly the UAE follows through on plans to increase domestic production and how that would affect global supply and market balances.