Bitcoin briefly climbed above $74,000 on Monday, extending weekly gains as institutional inflows and geopolitical tensions impact how the cryptocurrency trades alongside traditional assets.
The world’s largest digital asset has risen roughly 7% over the past week, according to The Block’s price page, while ether has outperformed with gains of about 13%.
Both moves occurred during a period of market turbulence driven by escalating conflict involving Iran and rising volatility in energy markets.
Safe haven narrative
Analysts say crypto has held up better than many traditional assets during the latest bout of geopolitical stress. While equities and gold have struggled, bitcoin and ETH pushed higher in recent sessions, prompting renewed discussion of bitcoin as a geopolitical hedge.
"Crypto strikes back," analysts at QCP Capital wrote in a market note, pointing to bitcoin’s resilience as global markets react to war-driven uncertainty and higher oil prices.
The firm said rising tensions appear to be pushing more activity on chain as participants seek cross-border liquidity during periods of financial disruption.
Signs of fresh capital entering the ecosystem are also emerging. USDC supply recently reached a record high of $81.1 billion, lifting overall stablecoin liquidity and suggesting new funds may be entering crypto markets during the current macro upheaval.
Institutional demand surges amid wartime
Institutional demand is reinforcing that trend too. Global crypto exchange-traded products recorded about $1 billion in inflows last week, extending a three-week streak of positive flows led largely by U.S. spot bitcoin ETFs, according to CoinShares data previously reported by The Block.
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