Bitcoin is holding its ground near $70,000, demonstrating remarkable resilience amid heightened geopolitical tensions and widespread market pessimism. Despite indicators signaling deep fear, including negative funding rates for bitcoin futures and a spike in the VIX index, BTC has gained approximately 7% since the escalation of Middle East conflict on February 28. This performance significantly outstrips that of major assets such as the Nasdaq 100, S&P 500, gold, and silver over the same period. Even Brent crude briefly surpassed $100 per barrel amidst ongoing regional tensions. During U.S. trading sessions, BlackRock's iShares Bitcoin Trust saw a 1% increase while major equity benchmarks declined. This outperformance is attributed to large traders and institutions acquiring bitcoin in private transactions, sustaining demand. The digital asset continues to perform better than the prevailing market sentiment.
Strategy's STRC has reportedly funded the purchase of an estimated 7,000 bitcoin this week through a high-yield product, though experts caution about inherent risks with yields significantly above Treasury rates.