Yesterday, the world's most popular cryptocurrency surged 8% to $41,800. At the moment of writing, BTC was trading near $41,600. According to CoinGecko, the world's largest independent cryptocurrency data aggregator, the market capitalization of BTC now totals $789 billion.
Last week, bitcoin fell to $37,100. The plunge came after the digital asset skyrocketed above $45,000 in early February. The rally was triggered by mounting demand for cryptocurrency in Russia.
The world's largest digital asset has lost 3.7% since early March. In January, bitcoin tumbled more than 16%, but advanced 12% in February.
BTC hit the all-time high in November 2021, jumping above $69,000. Since then, the coin lost over 40%.
The flagship cryptocurrency grew 1.6 times to $46,200 from $28,900 last year.
Geopolitical developments in the east of Europe are weighing on global financial markets. At the same time, severe sanctions imposed on Russia by Western countries stimulate growth in the crypto market as BTC is seen as a safe-haven asset by many investors.
Bill Miller, an American investor and philanthropist, expects BTC to skyrocket soon amid the escalating armed conflict in Ukraine. Today, Russia holds about 50% of its reserves in foreign currencies, including the US dollar and the euro. Meanwhile, the US and the EU are constantly tightening and introducing new sanctions against the country. Under such circumstances, Russia's authorities and citizens may shift away from foreign currencies towards BTC and altcoins.
