'Bitcoin Rallying In Face Of Russia-Ukraine Crisis Is Proof That It's A Better Store Of Value': Analysts
Risk assets continue to hold up today after a rebound on Monday that saw Bitcoin gain by over 10%, putting expectations of markets selling off amid escalating tensions between Russia and Ukraine into question.
As of writing, the pioneer cryptocurrency is trading at $44,176, up 10% from Monday’s open. On the other hand, Ethereum is back to $3,000 after surging 14% on Monday, its largest single-day gain since September 1.
Other gainers include Avalanche, NEAR, BNB, and Solana which are up 15.17%, 14.11% 12.64%, and 9.41% in the past 7 days respectively. Dogecoin, XRP, Shiba Inu have also gained albeit underperforming meaning that more money is moving into large-cap coins as their use case increasingly becomes seen amid geopolitical uncertainty.
Most stocks are also up following a surge in buying volume on Monday, with the Nasdaq composite maintaining its ground after gaining 7% last week. Gold also surged on Monday and is currently trading at $1,906 per Ounce. This sudden rise in prices across virtually all fronts has left traders scratching their heads as markets seem to have shrugged off their expectations of a bloody war-induced sell-off.
However, the situation is quite different with Edwin B. Tucker, director of Metalla Royalty. According to him, the shed by markets presents the perfect opportunity for investors to buy up low-priced risk assets.
“Now is the time,” he told Kitco’s David Lin in an interview. “I think there’s going to be a recognition that you need to say what’s behind these assets that I’m buying…that’s what people say in the crypto market, I mean pancake coin, they look over at gold, it went to 1975 as the tanks rolled in”.
Asked if he was concerned at all about bombs going off in eastern Europe from an investor’s perspective, he responded, “Mortal fire rarely coincides with the bull market.” To him, the current situation “is not goldilocks” and is a great recipe for incoming strength as everyone seems to be engrossed in what is going on around the globe, turning their backs on markets.
Sven Henrich, founder and the lead market strategist for NorthmanTrader believes Bitcoin rallying in the face of this crisis is proof that it is a better store of value asset. “The broader picture continues to inform that Bitcoin is here to stay & the rationale for its existence finding more validation as the existing fiat world requires ever more intervention to stay afloat,” he says.
Source: Read Full Article