Bitcoin surges 656% despite global tensions
As conflicts around the world shake traditional markets, Bitcoin keeps showing its strength with regular cycles of growth. Data from Glassnode reveal that Bitcoin has gained 656% since 2022. This impressive rise has caught the eye of many analysts.
A comic-style illustration from the 1970s depicts a busy city scene inspired by Times Square. The viewpoint is low, highlighting a hero based on the Bitcoin logo. The superhero wears an orange and gold suit with a large ₿ symbol on his chest. Standing with crossed arms, he looks calm and confident.
In short, Bitcoin has increased by 656% since the start of its latest cycle in 2022. While this is less than previous cycles, it is still a notable achievement given how mature the asset is. Bitcoin ETFs have brought in over $1.3 billion even amid tense global tensions.
With a market cap above $2 trillion, Bitcoin’s growth outlook has changed significantly. It’s no longer moving explosively but remains in strong demand. A recent report from Glassnode looks back at Bitcoin’s price cycles since 2015. The current cycle, its third big growth phase, is not as sharp as the first two.
The previous cycles, from 2015 to 2018 and from 2018 to 2022, saw gains of over 1,000%. The latest cycle, starting in 2022, has grown 656%. While less dramatic, it’s still meaningful. The report explains that as an asset becomes more valued, its chance for rapid growth tends to slow. This is common in mature markets.
Gold offers a good example. Over the last decade, gold has only risen about 192%. Considering Bitcoin’s current market value exceeds $2 trillion, huge surges are less likely. Still, this more steady growth shows Bitcoin’s rise as a credible financial asset. More institutions now include Bitcoin in their portfolios.
Tools like Bitcoin ETFs, launched in January 2024, have played a key role. In just a few months, they attracted billions of dollars. This makes it easier for more traditional investors to buy Bitcoin.
This analysis comes at a tense time globally. When Israel launched strikes on Iran, many markets would normally panic. Bitcoin, however, only dropped 3% before bouncing back to around $106,000. This calm response is very different from usual market reactions.
Bitcoin's steady bounce shows a change in how people see it. Instead of fleeing from risks, investors are putting money into Bitcoin. According to Farside Investors, Bitcoin ETFs had their fifth straight day of net inflows, totaling over $1.3 billion.
At the same time, the Crypto Fear & Greed Index stays at 61, indicating confident or even greedy investor sentiment. This is a contrast to the Dow Jones, which dropped 600 points, and the dollar index, which fell below 100. The decline in the U.S. dollar reflects less global confidence.
In uncertain times, Bitcoin is now seen more as a way to protect wealth than just a speculative asset. Daily trading volume has dropped over 35%, showing caution among traders. Still, platforms saw inflows of $2.4 billion, as some investors buy to lock in profits or adjust their holdings.
Overall, Bitcoin’s performance and growing demand show its shift towards being a well-recognized financial asset. Its behavior during recent shocks confirms its changing role in the market.