Despite the 5% drop in 7 days, the price of BTC rises in the last few hours.
The Middle East conflict has influenced the volatility of the cryptocurrency market.
After a week marked by the outflow of capital from exchange-traded funds (ETFs), the price of bitcoin (BTC) rises above $62,000. This remains the case this Saturday, October 5, after being above that mark at the close of Friday. In the last 24 hours it has appreciated close to 1%.
According to the SosoValue statisticsthroughout the week the net outflows of ETFs listed on the US markets They are estimated at about 300 million dollars. A financial movement that broke the streak of capital inflows that had been consolidated the previous week, with more than $1.4 billion in favor of ETFs.
This is one of the capital outflows most significant since the beginning of last Septemberwhen around $700 million was withdrawn from ETFs in one week.
The red week comes after three positive weeks for ETFs. It occurred in the midst of the escalation in the war conflict in the Middle East due to Iran’s attacks on Israel and invasions of territories in the region. This caused a drop in the price of BTC of more than 5% last Tuesday.
As reported by CriptoNoticias, after the fall recorded on Tuesday, October 1, the price of BTC remained at around USD 60,000, beginning a slight rebound since this Friday the 4th. At the close of this edition the rise It is estimated at around 1% with the price hovering around USD 62,200.
This rebound is sustained despite the outflow of capital from the ETFs, and points to a stabilization of the price amid the fears generated by the escalation of the conflict. However, we must be attentive to volatility generated by the global geopolitical situation that causes a lot of fear in the markets.
Search for safe haven assets
It is worth remembering that, in the midst of this environment of war and uncertainty, the tendency of investors to withdraw their investments from assets considered risk increases. And bitcoin, although described by many as a refuge of value, continues being sensitive to risk perceptions and liquidity in the markets.
In this sense, the slight rise in BTC seems to indicate that confidence in the digital currency is maintained, despite the exits of the ETFs, even though the view of the majority of investors It is mainly set on gold.
The precious metal retains its traditional position as a store of value reaching all-time highsto the point that businessman Jeroen Blokland assured that “investors are literally selling bitcoin to buy gold as geopolitical tensions increase.”
A situation questioned by bitcoiner Samson Mow, who recalled the anti-censorship and mobilization properties of the currency created by Satoshi Nakamoto and which he considers most advantageous for mobilizing money in a context of war.
