Rising global geopolitical tensions, trade fragmentation, and currency weaponization are positioning bitcoin as a significant hedge and neutral reserve asset, drawing investor capital seeking refuge outside traditional financial systems. this macro shift can lead to substantial inflows into btc.
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The overarching narrative suggests a bullish long-term outlook due to bitcoin's role as a hedge against global instability, attracting investors as a form of 'monetary insurance.' historically, btc has avoided back-to-back annual declines. however, in the short term, btc was rejected from an 'extreme supply' zone near $94,725 and could see further downside if the $91,000 level is lost, potentially targeting $87,800. the primary driver, though, is the macro bullish narrative.
Bitcoin's emergence as a hedge against geopolitical tensions and its role in generational wealth building through holding over decades are inherently long-term themes. the macro shifts described are not transient but suggest a sustained repositioning of btc in global finance.
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and publishing How Our News is Made Strict editorial policy that focuses on accuracy, relevance, and impartiality Ad discliamer Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio. As global geopolitical tensions intensify from trade fragmentation and sanctions to regional conflicts and currency weaponization, Bitcoin is increasingly emerging as a hedge outside the reach of politics. In an environment where traditional financial systems are shaped by state power and cross-border capital controls, BTC’s decentralized design is drawing renewed attention as a form of monetary insurance in an increasingly unstable world. Bitcoin’s Performance During Periods Of Instability The geopolitical tension may boost Bitcoin. Walter Bloomberg has noted on X that BTC’s recent rebound suggests rising geopolitical tensions are increasingly pushing investors toward cryptocurrencies. Walter made reference to 21Shares strategist Matt Mena’s statement , who stated that BTC is gaining recognition as a neutral reserve asset, alongside traditional safe havens such as gold and silver. Related Reading Bitcoin Supply Is Being Absorbed By Powerful Financial Players — What This Means 2 days ago After falling more than 6% last year, BTC has historically avoided back-to-back annual declines, supporting the case for gains this year . BTC was last down 0.3% at $93,740, after reaching a seven-week high of $94,725 on Monday, underscoring its resilience amid heightened global uncertainty. Considering most of the world is ecstatic with 8% annual returns, an analyst known as Juicy pointed out that the idea of doubling your money in one or two years is already an exceptional outcome for most average people. The hard truth is that most people will never hold their BTC long enough before they cash out 3 to 5 times their money, especially when BTC is down 50% in a bear market, because most people are emotionally attached to their money . Generational wealth with BTC is made by holding through multiple 50% bear market drawdowns across decades. The expert stated that his strategy is never to fully sell BTC, but to sell small portions at basic milestones like $250,000, $500,000, and $1 million, or even $10 million, while the main stack will not be sold. Extreme Supply And The Shift In Spot Momentum A trader known as DD highlighted that BTC traded directly into extreme supply just below Monday’s high and was aggressively rejected from there. This move was followed by a sharp push lower and was driven by heavy spot selling, confirming that this area remains a significant supply zone rather than a breakout point. Related Reading Bitcoin Risks A Year-Long Bear Market If This Happens: On-Chain Data 1 week ago DD recalled the weak weekly low, a level that has now been cleared. The market is now in a phase where the response matters more than a continuation. If the price begins to form local accumulation inside demand, that would present an opportunity to look for long exposure. On the other hand, if BTC bounces back into supply and shows clear signs of weakness, then the short setup will also remain valid. Structurally, losing the $91,000 level will open the door towards the weak monthly low around $87,800, which stands out as the next downside level. BTC trading at $91,950 on the 1D chart | Source: BTCUSDT on Tradingview.com Featured image from Pixabay, chart from Tradingview.com