The conflict between neighboring countries, Russia and Ukraine, has no doubt introduced fear, doubt, and uncertainty (FUD) into global financial markets. Risk assets like stocks are plummeting heavily, and investors are looking for a safe haven.
Interestingly, Bitcoin has proved itself to be what people need to protect their investments.
Bitcoin Outperforms Traditional Assets
Data from the past month shows that Bitcoin has been a safe haven and at the same time surpassed other assets in value. The data further explains to what extent it surpassed traditional instruments, like stocks.
Stocks like DJI, Gold, DXY, S&P, and US oil 500 failed to record significant gains. The highest one of these assets hiked is by 6.11%. These figures are meager compared to the largest cryptocurrency gains of 15.9%.
Bitcoin’s price increase was a result of several bullish fundamentals. One of the stories that has made rounds over the past 28 days includes Matthew Hancock, a British MP (West Suffolk) Conservative, who recently revealed that he “would consider” investing in Bitcoin, given the asset’s potential to help the economy.
However, immediately after the Ukraine invasion, bitcoin tanked by nearly 10% to $35,000 while gold rose about 15% to $1,924 as investors flocked the bullon. But things have changed and BTC is now trading above $43,000 as more investors choose the digital asset as their safe haven.
Ukraine Receives Bitcoin Donations
Meanwhile, since the invasion of Ukraine by Russia on February 24 2022, the Ukrainian military has received numerous donations in the form of military aid and bitcoin.
One report said that in the first 48 hours of the invasion, Ukraine’s non-governmental organizations (NGOs) and volunteer groups have raised $4 million in bitcoin donations to support soldiers in the war.
A more recent report confirms that the total donated funds in BTC has exceeded $10 million.
While fleeing the affected country, Twitter user Artyom Fedosov noted that credit cards were no longer working and the only available assets were cryptocurrencies like the apex coin, ETH, and NFTs.
My Ukrainian credit cards don’t work anymore. I’m safe physically in Kazakhstan, but all my savings are gone. Crypto is the only money I still have, and today I can say without exaggeration that $BTC, $ETH, and #NFT are going to save my life while I can’t come back home.
Artyom Fedosov (@usleepwalker) February 25 2022
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