The war between Russia and Ukraine increases support from Bitcoin’s maturity as well as skyrocketing oil prices and inflation. On this matter, a recent Bloomberg report suggested that the Russian invasion could push up the prices of Bitcoin (BTC) and Ethereum (ETH). As Kriptokoin.com, we are providing the details…
According to Bloomberg report, Russian invasion may positively affect Bitcoin and ETH price
According to the March issue of Bloomberg’s Crypto Outlook, the energy triggered by the current geopolitical instability in Eastern Europe increases in its prices could help Bitcoin emerge as a new asset class. The report includes the following statements about the effects of the Russia-Ukraine crisis on the market:
The Russia-Ukraine crisis could be a turning point in Bitcoin’s evolution towards global digital collateral. Rising energy costs serve as a reminder of the benefits of adopting the technology, as well as North America’s role as a net exporter of fossil fuels. Based on supply, demand, acceptance and human creativity, Bitcoin will reclaim the dominance over crude oil in 2022.
“Russia invasion flies this altcoin project”
According to the report, the voltage value Ethereum as the best platform for building smart contracts and decentralized applications will increase. This is due to macroeconomic factors:
The conflict in Ukraine could increase the value and spread of cryptocurrencies like Bitcoin and Ethereum. Cryptos #1 and #2 outperform stocks with increased chances of recession and rising energy costs. The crisis between Russia and Ukraine could strengthen dollar dominance through cryptocurrencies.
Part of the report said for Ethereum:
The war in Ukraine could highlight the value of decentralized cryptocurrencies. If the conflict is resolved soon, most risk assets will float as Ethereum continues to roll.
Stablecoins expected to be in demand
According to Bloomberg data, stablecoin like fiat-backed USD Coin (USDC) and algorithmic stablecoin Terra USD (UST)’ s saw a 2.069% and 5.233% increase in locked-in total value (TVL) in 2021, respectively. Cryptocurrencies pegged to the dollar are thought to be in greater demand in the coming years:
Despite historical levels of quarterly earnings, stablecoins are emerging as a structurally important venue for global liquidity, accounting for 0.53% of central bank balance sheets. builds reputation. If stablecoins rise at the same rate as last year, they will be worth more than 2.3% by 2023.
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