Bitcoin Rises Despite Geopolitical Tensions
Categories: Bitcoin
Bitcoin (BTC) and other cryptocurrencies traded higher on Monday, although some analysts remain cautious about geopolitical risks.Talks between Ukrainian and Russian negotiators could continue over the next few days, although some officials said so far no deal on a cease-fire has been reached, according to the Wall Street JournalMeanwhile, the U.S. and several European nations have imposed more sanctions on Russia. For example, on Monday, the U.S. Treasury Department prohibited transactions with the Central Bank of Russia and placed sanctions on a key Russian sovereign wealth fund. In crypto markets, trading volumes between the Russian ruble and bitcoin increased to a nine-month high, according to data tracked by Kaiko. The rise in ruble-denominated bitcoin volume prompted a backlash from one Ukrainian official.Bitcoin's trading volume across major exchanges has declined after the Feb. 24 spike, and selling pressure is starting to fade. Bitcoin has been in a downtrend since its all-time high in November of nearly $69,000, well before the Russia-Ukraine conflict. That means other factors such as global monetary tightening, regulatory uncertainty and lower crypto demand from China have weighed on prices.Still, cyclical downturns in bitcoin eventually phase out given the cryptocurrency's long-term uptrend.