Looking at its returns during past global conflicts, Bitcoin (CRYPTO: BTC) crashes when wars start but recovers within 50-60 days.
Data across 20 geopolitical events showing average gains of 31.2% as governments increase money supply to fund conflicts.
The Crash-Then-Rally Pattern
Bitwise research head Andre Dragosch earlier found Bitcoin often experiences short-term price drops when geopolitical risks arise, but within 50 days, price typically recovers and surpasses pre-event levels.
Across the top 20 major geopolitical risk events since July 2010, Bitcoin performed on average +31.2% after 50 days.
Binance Research and BlackRock arrived at similar conclusions: Bitcoin has historically rebounded by an average of 37% within 60 days following major geopolitical incidents.
This pattern has repeated with striking regularity as Bitcoin matured.
The Recent Conflicts
During Russia’s February 2022 invasion of Ukraine, BTC plummeted from approximately $39,000 to $34,322 within hours.
By March 1, BTC had surged back to $44,000 as crypto …