If the United States joins a war, the cryptocurrency market will be significantly affected, often in a negative way at first. Here are the main potential impacts:
🔻 Short-term effects (immediate):
1. Increased Volatility:
Investors typically flee from high-risk assets such as cryptocurrencies, turning to safe assets like gold and the US dollar.
2. Price Decline:
The market could witness a sharp decline, especially in the first days or weeks of the outbreak of war, due to fear and uncertainty.
3. Liquidity Withdrawal:
Investors may withdraw their money from the market to hedge or cover losses in other markets.
⚠️ Medium-term effects:
1. Demand for Bitcoin as a Safe Haven:
If trust in fiat currencies or banks is lost, the demand for Bitcoin may rise as a means to protect funds.
2. Increase in the value of some privacy or decentralization-related currencies (such as Monero, Zcash):
In times of crisis, people may turn to currencies that protect privacy or allow for unmonitored money transfers.
📈 Long-term effects (if the war prolongs):
1. Broader Adoption of Cryptocurrencies:
In case of sanctions, or if it becomes difficult to transfer money through the traditional banking system, countries or individuals may resort to cryptocurrencies to bypass those restrictions.
2. Activating Innovation in Blockchain:
Wars sometimes accelerate technological developments, and the use of blockchain in finance and international trade may be expedited.
