Bitcoin Reaction to Economic Effect.

[AVE5]

Bitcoin got a shock, breaking below the price of $100k, due to the involvement of the United States in the ongoing Israel and Iran war. Since this war before the involvement of US, the price has not gotten to the highs of $109k, rather has been around the $107k - $108k, but this time has gone above reaching $109k plus.

Indeed I'm currently seeing the bitcoin price at $109.873 and that seems promising that higher increase is behind the door. Maybe before we can anticipate for breaking of new Ath, let's hope on recovering a benchmark of the $112,000 current Ath first.
Meanwhile Op, you don't need to give the surging attributes to the US just because they got involved in the Israel and Iran war.
Bitcoin has been able to react to this spikes because of the recent strategy purchases of bitcoin including financial institutes, corporative companies, organizations and and individuals.
The bitcoin market might political be influenced but are typically determined by demands and supplies capacities.

[Alpha Marine]

I think Bitcoin is already immune to bad news that usually affects the economy.

"Immune" is not the word I would use, but yeah, people no longer panic as they used to with Bitcoin. If it was 5-6 years ago that a war broke out between Iran and Israel and the US got involved and forced Iran to retaliate on a US military base in the Middle East, Bitcoin would have plummeted, but this time it didn't do that, but to say it is immune is false. Bitcoin dipped when Trump tariff issues were at their peak, and the stock market turned red, so that means it's not immune.

I started noticing this when the German government sold about 5000BTC. If it were in the past, the market would have panicked and would have seen a lot of people selling off their BTC or converting it, which would have dragged the price down even further, but it didn't dip that much, and it corrected much quicker than I anticipated. People now have more trust in Bitcoin.
Or we can be totally wrong and it may just be because we are in a bull run, and people are just expecting a very high ATM this time around.

[348Judah]

So, this makes me ask, do you think that in the long run, Bitcoin will only respond to stimuli of any fundamental effect because it happened and swiftly gain it's correction and move on or there'll be something else that might be?

I don't think we are going to rely solely on the fundamental effect in determining for bitcoin market price performance, because we still have two other analysis which it also depends on, and we have to always consider using everyone of them as the case may applies before we could arrive at what we wanted to have from the market analysis in conclusion, the economic effect sometimes are the type that causes a sudden shock and the market often respond to them on a quick mode, there causing most of the investors to also push for a sale or buy while this happened within a short period of time before the correction take effect back.

[bullbandit9]

Bitcoin got a shock, breaking below the price of $100k, due to the involvement of the United States in the ongoing Israel and Iran war. Since this war before the involvement of US, the price has not gotten to the highs of $109k, rather has been around the $107k - $108k, but this time has gone above reaching $109k plus.

The price decreasing from $108k to $100k is not a shock. It is normal market behavior.

I think Bitcoin is already immune to bad news that usually affects the economy.

"Immune" is not the word I would use, but yeah, people no longer panic as they used to with Bitcoin. If it was 5-6 years ago that a war broke out between Iran and Israel and the US got involved and forced Iran to retaliate on a US military base in the Middle East, Bitcoin would have plummeted, but this time it didn't do that, but to say it is immune is false. Bitcoin dipped when Trump tariff issues were at their peak, and the stock market turned red, so that means it's not immune.

You can consider it close to immune. There was a time where China banning Bitcoin every few days crashed the price. These days, even a risky war barely makes it move downwards a bit.

[Alpha Marine]

You can consider it close to immune. There was a time where China banning Bitcoin every few days crashed the price. These days, even a risky war barely makes it move downwards a bit.

I can say it's evolving, or it's growing and getting stronger, but I'm not going to say Immune, or even becoming immune. There are events or news that will break, which will affect the price. We saw how Bitcoin went down to around $78k from around $100k during the tariff crisis. Those events caused the stock market to drop, and they also affected bitcoin. The fact that some major events didn't affect as much as they used to doesn't mean it's getting immune.

Also, let's not forget that we're in a bull run. If the market were in a bear season, would it react the same way as it did to the war? I don't think so. Bitcoin is still a risky and volatile asset/currency in the short term; we should never forget that.

[bitzizzix]

Although there is an impact, the impact is only temporary and that is because of the fear that makes some investors withdraw their funds from high-risk assets such as Bitcoin, stocks and other high-risk assets to switch to safer assets such as gold. However, this is only temporary and when the price of Bitcoin drops a little they will buy it back and there are also investors who wait for the decline to start buying or collecting Bitcoin again which makes the price of Bitcoin rise again and all of that happens because of many factors including those I mentioned earlier.
And I think over time with what happens negative things in the world will ultimately not affect the price of Bitcoin because what happens will definitely happen again and Bitcoin continues to show its greatness by standing tall without affecting a significant price decline or even not happening at all.

[Mahiyammahi]

Will like to hear your thoughts.

Israel still staccked today in this ceasefire situation. Idk what they are doing even after this agreement . IG war won't effect anymore untill there is really a  WW3 happening. ETF enflow pushing BTC towards new ATH .
US unemployment rate is lower . Lot's of industry accepting BTC.

So untill there's a big crisis nothing won't effect BTC. Don't put your ears on noise. Only BTC will be standing there alone.

[Woodie]

The game that Bitcoin plays changed the second it got upgraded to institutional investors and all that..it was mush easy when we had speculation  and FUD ruling & silent whales not revealing their hand unlike those of today that are so much influenced by external factors like the politics and are always speaking their mind...and not forgetting market manipulation etcetera .

And with regards with the war it's difficult to say for sure especially coming from the tarrif war and now actual wars..can't tell for sure, but it has played a part in pumping it .

[Mate2237]

I think Bitcoin is already immune to bad news that usually affects the economy. As we’ve seen, it remains stable. Normally, when negative news comes out, Bitcoin might dip a little, but it recovers quickly, which actually gives us a good chance to profit short-term.

Gone are the days when manipulators could cause huge dumps and shake the market hard. Now, even if there’s a drop, it slowly bounces back. So whatever negative reaction we see in the market, I don’t take it as a bad sign anymore, more like an opportunity. And honestly, the outlook still looks good. Adoption is growing, and since Bitcoin isn’t controlled by any government, it won’t be easily affected by conflicts between countries.

Your right don't expect the price of Bitcoin to depreciate simply because there is crisis or one unfortunate event taking place because is one assets that has undergone allot of phases since it development so am not particularly surprised by the rise in the price of Bitcoin despite the war going on in the middle east



These are the reasons why we on this forum always call for people to always make Bitcoin their number one priority when it comes to crypto currency because it has last the test of time and is still standing as the most adapted crypto currency in the world

[Cryptohygenic]

It is a good significant of seeing the bitcoin market regaining it momentum with that approach likely a direction order of breaking new Ath again.
The global war has really been a set back for the market in the past few weeks now with the Israel and Iran war just after the
digital market has recovered from the instability downtrends from the Russia and Ukraine whistleblowing that caught the global market terrifying.
But I like the fact that investors resets the system with their influence of demands to keep the uncertainty going and not just the resilience of the down trends.

[Trout Mask]

Friendly reminder of the reality that BTC is up 92%+ over this time last year.

[Powerjumboo]

In the long term, Bitcoin may be like that but we don't know what will happen in the future. You don't have to think much about that and just continue your accumulation of Bitcoin. Calm down if you see the price is down so you can see the chance to buy back Bitcoin at a low.

If you are planning to hold bitcoin for a long time, you should not be affected by these news because no matter how much it dumps today you can be assured that you will still see bitcoin recover after a few years. Those who should be worried are traders since they are the ones most concerned about price fluctuations.

Yes, you are right because long-term Bitcoin holders never worry about the price fluctuations of Bitcoin because they know that holding Bitcoin for the long term will definitely bring success. No matter how much turmoil there is in the world, Bitcoin is at its own pace and will continue to be at its own pace. And it is true that those who invest in Bitcoin do not worry, those who trade do because the fluctuations of Bitcoin cause traders to make profits and losses.

[Iranus]

Your right don't expect the price of Bitcoin to depreciate simply because there is crisis or one unfortunate event taking place because is one assets that has undergone allot of phases since it development so am not particularly surprised by the rise in the price of Bitcoin despite the war going on in the middle east

Bitcoin is only 16 years old, it was born in a time of peace and is one of the youngest assets compared to gold, stocks, real estate...The biggest crisis it has gone through so far is covid19, other than that it has never gone through any other major crisis like gold has gone through.

Bitcoin also did not increase in price when the war happened. It fell to $98k after news of US attack on Iran, and it only recovered and increased in price when a ceasefire was announced between Iran and Israel.

[michellee]

In the long term, Bitcoin may be like that but we don't know what will happen in the future. You don't have to think much about that and just continue your accumulation of Bitcoin. Calm down if you see the price is down so you can see the chance to buy back Bitcoin at a low.

If you are planning to hold bitcoin for a long time, you should not be affected by these news because no matter how much it dumps today you can be assured that you will still see bitcoin recover after a few years. Those who should be worried are traders since they are the ones most concerned about price fluctuations.

Those beginners should rid off their afraid from the fluctuation so they will not affect with the bad situation. The thing is they still worry when they see the price is down without think that is just temporary. It is why they need to calm down themselves and leave the market for a while to reduce the bad feeling about the market.

Those bad new will always come and affect to the market. But that will not stay forever in the market so they can confident to continue their investment. The market will recover soon and you just need to focus with accumulating Bitcoin.

[CamilaStar]

Your right don't expect the price of Bitcoin to depreciate simply because there is crisis or one unfortunate event taking place because is one assets that has undergone allot of phases since it development so am not particularly surprised by the rise in the price of Bitcoin despite the war going on in the middle east

Bitcoin is only 16 years old, it was born in a time of peace and is one of the youngest assets compared to gold, stocks, real estate...The biggest crisis it has gone through so far is covid19, other than that it has never gone through any other major crisis like gold has gone through.

Bitcoin also did not increase in price when the war happened. It fell to $98k after news of US attack on Iran, and it only recovered and increased in price when a ceasefire was announced between Iran and Israel.

Your actually right, Bitcoin is a relatively young asset. And we should also know that Bitcoin is often promoted as an inflation hedge because of its fixed supply but in practice it has not consistently acted as one. Bitcoin rose alone side inflation fears in 2021 but in 2022 when inflation stayed at a high level and the fed raised interest rate aggressively, Bitcoin fell so sharply showing everyone that it's more sensitive to liquidity conditions than to inflation itself

[Zigabel]

Yes, you are right because long-term Bitcoin holders never worry about the price fluctuations of Bitcoin because they know that holding Bitcoin for the long term will definitely bring success. No matter how much turmoil there is in the world, Bitcoin is at its own pace and will continue to be at its own pace. And it is true that those who invest in Bitcoin do not worry, those who trade do because the fluctuations of Bitcoin cause traders to make profits and losses.

It has always been my style to make my Bitcoin investment mostly in the long term , I have seen over the years that it has proven to be the best and most profitable way of making some money from Bitcoin investment,  for the short time holdings and investment,  it has mostly turned out little or no ROI so it's best to continue with the long term holding , you will always have almost no effect from all of the market volatility which may transpare in the through the period of your holdings.

Those who wori most about  fluctuations are mostly short term investors who are looking  to gather some quick bucks from the investment, so they get affected by every slight move that happens and they notice it because most often their  eyes are on the chart trying to see what is going on in the market and waiting to react which further puts in volatility to the market unknowingly to them too.

[Iranus]

Your actually right, Bitcoin is a relatively young asset. And we should also know that Bitcoin is often promoted as an inflation hedge because of its fixed supply but in practice it has not consistently acted as one. Bitcoin rose alone side inflation fears in 2021 but in 2022 when inflation stayed at a high level and the fed raised interest rate aggressively, Bitcoin fell so sharply showing everyone that it's more sensitive to liquidity conditions than to inflation itself

Bitcoin is not the only asset that is growing, stocks, especially US stocks, have also seen strong growth in 2021. The reason is believed to be due to loose monetary policy, the government pumping money to support the economy to overcome difficulties caused by the pandemic.

In 2022, inflation peaks due to money pumping during the pandemic and combined with wars in Ukraine and Russia...causing global instability and at one point bitcoin price is dumped to $15k.

Clearly, bitcoin is not the perfect safe haven that many people are promoting or imagining. Bitcoin is still a fairly new asset and is more of a speculative investment.

[ruykeri]

It is impossible to say for sure what will happen in the future. But looking at some recent events, we can get an idea of what it might be. History shows that Bitcoin is very sensitive to major global events. At the start of the 2020 Covid pandemic prices initially plummeted then the stimulus package caused people to lose faith in fiat currencies and flock to Bitcoin. Even during the 2023 US banking crisis, people adopted Bitcoin as a safe haven causing its price to rise. Thats exactly what happened.. At first the price dropped a bit, but now its back to a better position than before. I will just say this  Bitcoin will always bring us good things. In the future it may serve as a much more "store of value" than we see gold