In times of war, Gold rises. What about Bitcoin?

[Minecache]

During war of course many commodities skyrocket such as gold, foodstuffs, war equipment and others, of course during war the production, distribution and agricultural processes are disrupted, causing prices to skyrocket, of course this is different from bitcoin and cryptocurrencies, most people will do safe things, for example saving or divert to low-risk types of investments.

These goods only increase in areas where there is war, whereas in many areas that are still quite safe there will be no sudden increase in the price of goods by a significant amount. So you cannot generalize the prices of all goods in all regions of the world, unless all countries are hit by a major war and there are not enough goods to use because the production that can be carried out by companies and factories is limited. Meanwhile, most cryptocurrencies skyrocket due to good moments and news about them so they will not be affected by wars occurring in certain regions, unless all countries are at war so investors have difficulty accessing the cryptocurrency market.

The war between Israel and Hamas doesn't have much impact on bitcoin or the cryptocurrency market, but what about the war between Russia and Ukraine? I remember that when the war between two countries broke out, most financial markets were dumped and bitcoin was no exception. So, I will disagree with you saying that the cryptocurrency market will not be affected by a war in a region or between several countries.

Another thing we should not deny is that when these two wars happened, the price of gold both increased, this shows the importance of gold to the world but this has never happened with bitcoin.

[DrBeer]

If you look at the current situation, it turns out - war is not the catalyst for bitcoin's rise....  There is no direct correlation between the Bitcoin rate and the beginning of Russia's terrorist war against Ukraine and economic terror against the EU in 2021-2022. Just as there is no discernible dependence of the Bitcoin rate on the Hamas terrorist attack on Israel and the rising tensions in the Middle East. The only thing that "undermined" the rate is the fake news about BlackRock.
It seems to me that in critical times people will prefer more liquid and more classic assets, especially against the background of unclear situation with cryptocurrencies in general

Tho fake news add another complexity to understand crypto’s behavior during global events, I doubt it too that war directly affects it. If you are part of the victims of the war and everything feels uncertain, you would prefer something stable tather than bitcoin I think. People tend to lean towards more traditional assets during uncertain times like gold, real estate, or government bonds because they consider it safer and their value is more predictable. Cryptocurrencies on the other hand are highly volatile and riskier in such situations. It's all about finding stability amidst the chaos

You see, you understand perfectly well that cryptocurrency, which has no real value, cannot be a means of solving the problems of preserving one’s “accumulations” in a situation like war. Plus it also carries the risk of losing access to your data/wallets. Therefore, people in a critical situation do not invest their savings in them, and there are a thousand explanations for this. Therefore, the “emergency backpack” will most likely contain cash dollars and euros, possibly gold, but not a laptop with bitcoins (exaggerated). Now, for this topic, the problem is different - to maintain and not lose access to your crypto savings, and this is a completely different topic

[Abiky]

"Silver wins battles , Gold wins wars " and Bitcoin wins in both of them so the current rise of Bitcoin is no coincidence and in my opinion we slowly transit towards bull run. Will it get a big spike in price until the last year ? I doubt that , however , I won't be surprised to see price above 33k by the end of the year. 

I'm sure Bitcoin will reach a new ATH soon. The upcoming halving event, and companies buying like crazy (Blackrock, Fidelity, Microstrategy) will help BTC cross the $30k range faster than you could imagine. You can buy BTC at a huge discount and sell it for a profit once the market pumps again. Gold rises during times of war, but it doesn't experience high gains as Bitcoin does. It remains relatively stagnant for long periods of time.

When you invest in Gold it's to help preserve your capital/purchasing power. Not to get richer over time. By leveraging between the two assets (Bitcoin and Gold), you'll be able to achieve peace of mind. These are uncertain times we're living into, so expect the unexpected. Just my thoughts

[topbitcoin]

"Silver wins battles , Gold wins wars " and Bitcoin wins in both of them so the current rise of Bitcoin is no coincidence and in my opinion we slowly transit towards bull run. Will it get a big spike in price until the last year ? I doubt that , however , I won't be surprised to see price above 33k by the end of the year. 

I'm sure Bitcoin will reach a new ATH soon. The upcoming halving event, and companies buying like crazy (Blackrock, Fidelity, Microstrategy) will help BTC cross the $30k range faster than you could imagine. You can buy BTC at a huge discount and sell it for a profit once the market pumps again. Gold rises during times of war, but it doesn't experience high gains as Bitcoin does. It remains relatively stagnant for long periods of time.

When you invest in Gold it's to help preserve your capital/purchasing power. Not to get richer over time. By leveraging between the two assets (Bitcoin and Gold), you'll be able to achieve peace of mind. These are uncertain times we're living into, so expect the unexpected. Just my thoughts

But when the war is certainly bitcoin it will be constrained to its bull market, because usually the war will make many assets fluctuate due to the shifting macroeconomic impact making it difficult to find global economic stability, and bitcoin which is a very volatile asset will definitely be greatly affected by it, many people will panic and throw their bitcoin into the market, as we see that when Russian aggression against Ukraine it has a significant impact on the market.

Gold is one of the alternative assets to withstand the unclear economy, and it is certainly good in that situation, because gold will maintain the value of your money, but then talking about bitcoin after the economy returns to normal rotation, bitcoin will move better and can make you get a better position than holding gold, the issue of halving and bitcoin ETFs that are of concern to holders will certainly drive bitcoin to get crazy adoption and I also strongly believe that bitcoin will get a new ATH in this cycle, although these times are uncertain if seen from the global situation towards bitcoin, but I am also quite confident that later this year bitcoin can be more than $35k.

[bbigtart]

These goods only increase in areas where there is war, whereas in many areas that are still quite safe there will be no sudden increase in the price of goods by a significant amount. So you cannot generalize the prices of all goods in all regions of the world, unless all countries are hit by a major war and there are not enough goods to use because the production that can be carried out by companies and factories is limited. Meanwhile, most cryptocurrencies skyrocket due to good moments and news about them so they will not be affected by wars occurring in certain regions, unless all countries are at war so investors have difficulty accessing the cryptocurrency market.

I do not agree. When a war occurs, all countries will be affected, especially if the country at war is the country that produces the most natural products, such as Russia's war against Ukraine. Basic materials in several countries are increasing. War will cause a very serious economic, energy and inflation crisis, war can occur between countries or within countries. We can take this as an example in the 90s during WW1 and WW2 which occurred almost all over the world.

Of course, the things that save your assets when a war occurs are gold and bitcoin because these two assets are able to protect our assets from inflation due to war.

[Renampun]

I've seen Gold market prices rising lately as a result of the current Israel-Hamas conflict. However, Bitcoin hasn't experienced any upsurge in price. It's still hovering around the $26k range. Something similar happened during the Russia-Ukraine war.

Is it because investors still don't trust Bitcoin as a store of value? Or is it something else? Please enlighten me. Your input would be greatly appreciated. Thanks.

The majority of countries in the world use gold as a protector of their economic strength and also their country's currency, so when war occurs the price of gold will rise, there was even news circulating a few weeks ago that Russia and China were again stocking gold in large quantities in anticipation of war in several countries is getting hotter. it's not 1 or 2 times that a strong country buys a lot of gold as their savings reserves, apart from Russia and China there are several other countries such as India which reportedly continue to buy gold periodically.

[bayu7adi]

Up to this point, gold and jewellery holds more validity when compared to BTC, although Bitcoin has witnessed rallies during times like the COVID pandemic or certain war-related events. However, these surges may be attributed to the effects of volatility. Gold has proven to be more stable "for the time being." The world still places its trust in gold as a hedge of value, possibly owing to its more mature age compared to Bitcoin. As long as Bitcoin has not achieved widespread adoption and remains vulnerable to manipulation, it cannot rival gold.



In terms of features, it's clear that Bitcoin surpasses gold. Transferring an equivalent of $10 million in wealth is undoubtedly easier using BTC compared to gold. Yet, the traditional mindset of past generations persists: "Visible assets are the valid assets." We are still awaiting the moment when Bitcoin is universally recognized by nations as a more valuable asset one day.

[jaberwock]

Is it correct to say that gold is centralized because mining it is extremely difficult, and it is not concentrated in one place but scattered all over our earth? So I wouldn't consider gold a centralized asset, but it has been proven and recognized as a valuable asset, so the majority of the world's gold is already held by governments. But that's like bitcoin, the majority of bitcoin is being held by institutions, sharks. So if you think gold is centralized then bitcoin is also on its way to becoming a centralized asset because institutions are holding a lot of bitcoin.

But since we know max supply of Bitcoin and we can track how many people are hold Bitcoin, we can know the Bitcoin's condition. Although there are few address contain a lot Bitcoins, but the majority of address are around 0.00001-0.1 BTC, this mean Bitcoin is decentralized.

While gold we don't have a clue how much the max supply and the comparation of whales vs Average Joe.

I mean not technically but also yeah give or take. We know how many address we have, not exactly how many people, because we do not know exactly how many people hold many address, so it is impossible to know the exact number. But if we check the number of people who gave their KYC to get bitcoin or any other coin, then we could basically come up with a number, which not everyone would do but it is still something at least.

All in all there are a lot of people who are investing into bitcoin, that much is known and there is nothing to argue about that, it is going to be something that will matter without a doubt and should be something that we could get better at, it could definitely be something that should benefit us all.

[Gallar]

I've seen Gold market prices rising lately as a result of the current Israel-Hamas conflict. However, Bitcoin hasn't experienced any upsurge in price. It's still hovering around the $26k range. Something similar happened during the Russia-Ukraine war.

Is it because investors still don't trust Bitcoin as a store of value? Or is it something else? Please enlighten me. Your input would be greatly appreciated. Thanks.

In terms of popularity, gold is indeed superior to bitcoin, because it is clear that gold existed much earlier than bitcoin. So gold is indeed an asset that is familiar to most people. Because gold is widely used as jewelry by most people and can also be used for other things. For example, it can be used as material for making electronic devices, and some are even used for medicine and food. Therefore, the majority of people still use gold as a store of value asset. However, currently bitcoin is also experiencing a very significant price increase. As I write this, Bitcoin has touched $29.7k. So it can be said that Bitcoin is still experiencing a significant price increase. Because if you look at the conflict between Israel and Palestine (hamas). Indeed, I don't think the impact on Bitcoin is too big. The reason is, countries that border Israel or Palestine are not countries that have many crypto (bitcoin) users. So you can be sure that people in countries close to Israel or Palestine will definitely look for assets that can secure their wealth, and gold is the choice. That's why the price of gold rose after the Israel and Palestine (Hamas) incident occurred.

[Abiky]

Up to this point, gold and jewellery holds more validity when compared to BTC, although Bitcoin has witnessed rallies during times like the COVID pandemic or certain war-related events. However, these surges may be attributed to the effects of volatility. Gold has proven to be more stable "for the time being." The world still places its trust in gold as a hedge of value, possibly owing to its more mature age compared to Bitcoin. As long as Bitcoin has not achieved widespread adoption and remains vulnerable to manipulation, it cannot rival gold.

...

In terms of features, it's clear that Bitcoin surpasses gold. Transferring an equivalent of $10 million in wealth is undoubtedly easier using BTC compared to gold. Yet, the traditional mindset of past generations persists: "Visible assets are the valid assets." We are still awaiting the moment when Bitcoin is universally recognized by nations as a more valuable asset one day.

For something as established and well-trusted as Gold, it's going to take quite a long time before people switch to Bitcoin as an alternative store of value. Mainly, the new generations will adopt it quickly. We can see the world is slowly shifting away from the Fiat standard as countries open their doors to crypto/Blockchain innovation. El Salvador was the first country to adopt BTC as legal tender with many more to follow soon. Once Bitcoin becomes a part of our lives, many people will trust it during uncertain times. This could take decades before it becomes a reality.

I have no hurry to see BTC reach a new ATH, as long as it works as intended. With spot ETFs on the verge of being approved, as well as subsequent block reward halvings, you can bet BTC will become more valuable over time. You just need to be patient. Maybe Bitcoin will get to live alongside Gold for generations?

[Fuso.hp]

Does the war really make any difference to the price of bitcoin going up and down?
Currently the war between Russia and Ukraine is going on as well as the war between Israel and Hamas is getting serious but now we see the Bitcoin market hovering between $34K and $35K. Bitcoin price has changed so much in a matter of days. As the market is changing positively the market is supposed to go higher but here no effect of the war worked. The value of Bitcoin depends on the investment. Right now if you sell a lot of bitcoins you will see the price of bitcoins going down again and when you buy a lot of bitcoins you will see the market of bitcoins going up. 
So I don't think any effect of Bitcoin price change due to war works.

[YOSHIE]

Is it because investors still don't trust Bitcoin as a store of value? Or is it something else? Please enlighten me. Your input would be greatly appreciated. Thanks.

Indeed, in 2023, gold will experience an increase globally, which can be felt in Asia, but if you look at there are a number of factors that cause the price of gold to rise, maybe as the OP said, maybe.

However, looking at the factors of recession, war, crisis and including politics, it can also influence the dynamic surge in gold recently. On the other hand, the recent development of the crypto market is also not like what we have seen in previous years, there was turmoil. war, including Bitcoin, the increase is not that drastic, it's slow, whether investors believe in gold more than crypto, maybe they think gold is safer, but I'm sure the crypto market will improve in the future.

[bayu7adi]

[...]
I have no hurry to see BTC reach a new ATH, as long as it works as intended. With spot ETFs on the verge of being approved, as well as subsequent block reward halvings, you can bet BTC will become more valuable over time. You just need to be patient. Maybe Bitcoin will get to live alongside Gold for generations?

The true purpose of Bitcoin, as originally envisioned by Satoshi Nakamoto in the Whitepaper, is to serve as a digital means of peer-to-peer transactions, much like traditional currency. However, it's important to acknowledge that various countries have different regulations, which may lead some users to view Bitcoin as a store of value rather than a pure transactional tool.

Connecting the younger generation with Bitcoin is a fascinating endeavor. We all live in an era of rapid technological advancement. Even in my country, the youth tend to perceive cryptocurrencies as assets and savings, a perspective distinct from that of most older generations. In my opinion, the younger generation holds significant potential to embrace Bitcoin as an alternative savings option, potentially supplanting traditional assets like gold. The key to this adoption currently lies in the availability of ETFs.

[Negotiation]

War will not affect bitcoin because bitcoin is not controlled by anyone it is decentralized. Bitcoin price is primarily influenced by its supply market demand availability competing cryptocurrencies and investor sentiment. But it is possible that the price of gold will rise but if the economy suffers the effect of war will be on gold. It is like fiat currency that the government can control cryptocurrency prices are soaring in a war market where all financial aspects are falling. Bitcoin is appreciated all over the world the price of this cryptocurrency has increased tremendously.

[Abiky]

The true purpose of Bitcoin, as originally envisioned by Satoshi Nakamoto in the Whitepaper, is to serve as a digital means of peer-to-peer transactions, much like traditional currency. However, it's important to acknowledge that various countries have different regulations, which may lead some users to view Bitcoin as a store of value rather than a pure transactional tool.

Connecting the younger generation with Bitcoin is a fascinating endeavor. We all live in an era of rapid technological advancement. Even in my country, the youth tend to perceive cryptocurrencies as assets and savings, a perspective distinct from that of most older generations. In my opinion, the younger generation holds significant potential to embrace Bitcoin as an alternative savings option, potentially supplanting traditional assets like gold. The key to this adoption currently lies in the availability of ETFs.

Bitcoin's limited supply and deflationary mechanism makes it more suitable as a store of value than digital cash. With rising fees and slow confirmation times, don't expect things to change anytime soon. While that is a fact, people seem to trust Gold more than Bitcoin because of its established presence in the mainstream world. It's no secret that Gold's market cap is a lot higher than Bitcoin's. When times of crisis come, Gold is usually in the "green zone". In Bitcoin, it varies depending on current market sentiment. Sometimes it goes up, while in others it goes down or remains stagnant.

It's only been 14 years since BTC's inception, so I'd give it more time to see what happens. Who knows if BTC grows as big as Gold someday in the future?

[Lida93]

I've seen Gold market prices rising lately as a result of the current Israel-Hamas conflict. However, Bitcoin hasn't experienced any upsurge in price. It's still hovering around the $26k range. Something similar happened during the Russia-Ukraine war.

Is it because investors still don't trust Bitcoin as a store of value? Or is it something else? Please enlighten me. Your input would be greatly appreciated. Thanks.

First off, do you have any data to back up the claim that "in times of war, gold rises"?  I"m sure that true to some extent, but I'm not sure how true it is overall (meaning for all wars over the course of time). 

Also bitcoin is in fact rising as we speak, and has been for the past couple days.  I don't think it has much to do with the store of value aspect, people simply panic during times of war fearing the worlds economies will take a massive hit, and in return people tend to sell off any sort of asset, whether thats gold, bitcoin, stocks or bonds. 

I'm just not sure there's a correlation here.

The question op should be answering is; what would people in war be needing gold for while their lives is at stake of imminent destruction from an on going war? Those that have it would rather be selling cheap or exchanging it for food to eat for survive while the war last.

Is gold being used in the manufacturing of weapons of mass destruction that the demand for it should rise in times of war? Or is op just been speculative maybe based on a coincidence of gold price rise within the period of the lsreal-Hamas fighting.

Using the case of the Russia-Ukraine war that have lasted over 12 months now did the price of gold in the EU countries and other part of the world increased due to the war? These are just my troubling questions I would love to get a reply from regarding his post if op don't mind.

[Fortify]

I've seen Gold market prices rising lately as a result of the current Israel-Hamas conflict. However, Bitcoin hasn't experienced any upsurge in price. It's still hovering around the $26k range. Something similar happened during the Russia-Ukraine war.

Is it because investors still don't trust Bitcoin as a store of value? Or is it something else? Please enlighten me. Your input would be greatly appreciated. Thanks.

Bitcoin has less history behind it than some other commodities like gold, which means it will naturally have accrued less trust than owning gold. The longer is sticks around without problem, the more likely it is to be used by people as a store of value - however gold still has many hundreds of years of reassurance behind it. If you wish to change this, then you should continue holding and buying more bitcoin throughout the darkest economic periods, however you might find most people find more reassurance in different forms of fiat cash and the savings rates paid out by banks because of it. Bitcoin has historically faced many peaks and troughs, but is grinding its way upwards again.

[Abu-Naim]

War will not affect bitcoin because bitcoin is not controlled by anyone it is decentralized. Bitcoin price is primarily influenced by its supply market demand availability competing cryptocurrencies and investor sentiment. But it is possible that the price of gold will rise but if the economy suffers the effect of war will be on gold. It is like fiat currency that the government can control cryptocurrency prices are soaring in a war market where all financial aspects are falling. Bitcoin is appreciated all over the world the price of this cryptocurrency has increased tremendously.

War can have an impact on the price of bitcoin because when there is war, there is a rush to sell bitcoin, especially if the violence impacts some developing countries with a high proportion of bitcoin investors. If investors lose their physical valuable assets as a result of the war and are in need of money, they will consider selling bitcoin to meet their needs, and once investors with a large number of bitcoins start selling as a result of the war, many weak investors around the world will follow because they lack the patience to hold.

[ancafe]

I've seen Gold market prices rising lately as a result of the current Israel-Hamas conflict. However, Bitcoin hasn't experienced any upsurge in price. It's still hovering around the $26k range. Something similar happened during the Russia-Ukraine war.

If you look at the price of bitcoin in the last few days, the impact of the increase in bitcoin from the gold percentage is much greater and although it could only be temporary. Maybe I responded a few days after you made your post, but this is in line with the increase that occurred in gold in the conditions of tension between Israel and Hamas.

Is it because investors still don't trust Bitcoin as a store of value? Or is it something else? Please enlighten me. Your input would be greatly appreciated. Thanks.

In general there are still many investors who do not use bitcoin as a store of value because bitcoin is still considered quite volatile and the influence of other things is one of the reasons why they do not believe in bitcoin as an asset capable of storing value. War affects financial stability and people tend not to think about investments for those affected by the war and especially investors who are in the country.

But this is not a strong reason because maybe we will see the impact of recession and inflation due to Covid-19 which causes Bitcoin to reach ATH. So no one is able to provide a strong reference regarding this incident and perhaps the supply and demand process is something that is often linked.

[348Judah]

"Silver wins battles , Gold wins wars " and Bitcoin wins in both of them so the current rise of Bitcoin is no coincidence and in my opinion we slowly transit towards bull run. Will it get a big spike in price until the last year ? I doubt that , however , I won't be surprised to see price above 33k by the end of the year. 

I'm sure Bitcoin will reach a new ATH soon. The upcoming halving event, and companies buying like crazy (Blackrock, Fidelity, Microstrategy) will help BTC cross the $30k range faster than you could imagine. You can buy BTC at a huge discount and sell it for a profit once the market pumps again. Gold rises during times of war, but it doesn't experience high gains as Bitcoin does. It remains relatively stagnant for long periods of time.

When you invest in Gold it's to help preserve your capital/purchasing power. Not to get richer over time. By leveraging between the two assets (Bitcoin and Gold), you'll be able to achieve peace of mind. These are uncertain times we're living into, so expect the unexpected. Just my thoughts

Welll said, combining both gold and bitcoin investment together will yield a perfect result, even though they both exist in different forms, bitcoin is a digital decentralized currency and asset while gold a physical asset under a centralized institutions, there's no doubt that bitcoin can out smart gold in terms of profitability over time when bitcoin experience a new all time high and it value keep increasing unlike told that merely move from one spot to another over a very long time