- Bitcoin price has posted over 200% gains since January 2020, revealing its risk off nature.
- Despite a strong correlation with equities, Bitcoin price posted consistent gains during the Russo-Ukraine war.
- Analysts are bullish on Bitcoin, predicting a rally in the asset.
Bitcoin price continues posting gains against the backdrop of the Russo-Ukrainian war, fueling a bullish outlook among investors. Despite Bitcoin's correlation with stocks and equities, Michael Saylor believes that BTC is a risk off asset.
Bitcoin acts as a risk off asset in rising geopolitical tension
Bitcoin price has posted over 200% gains since January 2020. More recently it has fallen yet despite the price drop, institutional investors and leaders now consider the asset risk off by nature. The asset has a strong correlation with tech stocks and equities; however, proponents argue Bitcoin has also acted as a hedge against inflation.
Bitcoin has found a utility on both sides of the Russo-Ukrainian war, and experts believe the conflict could drive the asset's adoption among users.
Analysts have evaluated the Bitcoin price trend and predicted a rally. FXStreet analysts spotted a bearish Ichimoku breakout for the first time since December 4, 2021. The pattern typically triggers a big sell-off; however, there hasn't been a follow-through.
Despite the rebound in Bitcoin price, downside risk persists, and the asset could test its 2021 lows. Bitcoin price could drop as low as $30,400, similar to the 2021 trend.
Analysts argued that based on Gan analysis, the historical behavior of Bitcoin on March 21 implies a major move. Historically, there has always been a large price move after this date range, and analysts argue there could be a trend reversal in the asset on March 21, 2022.
The bitcoin price trend coming into this date range has typically shifted, implying an upcoming change to the asset price within the next two weeks.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Shiba Inu price stagnancy brings investors’ losses to a 28-month high
Shiba Inu has been rather dormant these past four weeks, which is bearing a negative impact on the investors. The meme coin market has been struggling to make headlines as the lack of increase in altcoin’s market value has left investors in peril, which is now driving them to pull back and wait until SHIB starts rising again.
LDO sees lowest cumulative volume in ten months as Lido DAO price struggles to breach key barrier
Lido DAO price is up over the past day as the market shifted its stance despite the SEC announcing a delay in the spot Bitcoin ETF applications of BlackRock among other applicants. However, this one-day rise is not enough for the likes of LDO that have been failing in recovering for a few weeks now.
THORChain leaps 12% with soaring open interest as RUNE targets a peak of its current range
THORChain is testing a crucial multi-month obstacle after a remarkable climb. The move has completed the altcoin’s recovery rally following the 15% fall of September 27. RUNE has outperformed the broader market, with Bitcoin and Ethereum recording only up to 3% in daily gains.
Chainlink and Australia’s ANZ Bank issue AUD-stablecoin to successfully test interoperability
Chainlink put itself on the map with the help of its real-time data-feeding Oracles and is now in the spotlight for its interoperability protocol. Through this protocol, the blockchain project intends to not only connect two or five chains but also create the world’s largest liquidity layer, starting with Australia’s second-largest bank.
Bitcoin: BTC downside likely after 20-week EMA culls bulls
Bitcoin (BTC) bearish price fractal, as discussed in a previous article, is underway, but the lack of volatility is causing ambiguity and doubt. Regardless, BTC might see a bit of an upside before the long-term bearish scenario plays out.