Amid Russia-Ukraine tensions, the crypto market has seen high volatility within a few days.
As the tensions between the two nations intensify, it has direct effects on the markets. Financial losses are just one of the effects that the world will bear from this conflict. And also the loss of human life and has capsized the lives of Ukrainian citizens trying to escape. This has affected all markets. As, both the countries are large suppliers of crude oil, food grains. Each day unfoldes a new uncertainty. And surely, the Crypto market is not left behind.
Du Jun, Co-founder of Huobi shared his views on the current situation and future of the market.
According to Du,
The cryptocurrency market is in the early stages of the bear market. It is very tough to predict exactly as many factors affect the market. For instance, geopolitical issues and the recent COVID-19. Following the cycle, it will be the end of 2024 to the beginning of 2025, We will see the next bull market of Bitcoin.
This week, the bitcoin price fell under $35,000 per bitcoin before a sharp rebound. Investors are wary of the volatility shown in the cryptocurrency market.
Traders and investors have now braced themselves for the next turn of events. As Russia is removed from SWIFT, which is the world’s main international payments network.
Warns the former Russian Central Bank deputy chairman on the Russian currency markets. Sergei Aleksashenko further elaborated his points by saying,
“It means there is going to be a catastrophe on the Russian currency market on Monday,
I think they will stop trading and then the exchange rate will be fixed at an artificial level, just like in Soviet times.”
This move came after countries sanctioned Russia. Yet, the movement was not ceased. Sources say that Russia holds about $300 billion of foreign currency offshore. According to Bloomberg reports, it is enough to disrupt the money market, if it gets frozen.
Towards the end of the last week, the power made