The Ukraine conflict will accelerate the adoption of crypto

Bitcoin rose
slightly, by 0.6%, to $43.6K. Ethereum added 1.6%, while other leading altcoins
from the top 10 showed mixed dynamics: a 3% decline (Terra) to 6.2% growth
(Solana).

BTC is losing
correlation with stocks?

Bitcoin
briefly dipped below $43K on Thursday but, by the end of the day, had offset
most of the decline, remaining near Thursday's closing levels amid a rebound in
US stock indices.

According to
Bloomberg, a renewed slide in stock indices could hit bitcoin hard. Short-term
risks are rising as the US Federal Reserve intensifies its fight against
inflation and rising interest rates and intends to embark on aggressive balance
sheet cuts.

In contrast,
Galaxy Digital CEO Michael Novogratz believes bitcoin is gradually losing its
correlation with stock indices. He believes lower inflation and a stabilising
economy will push bitcoin up.

Total crypto
market capitalisation, according to CoinMarketCap, rose 1.2% to $2.02 trillion
overnight. Bitcoin's dominance index declined 0.4% to 40.9%. The cryptocurrency
Fear and Greed Index was up 3 points to 37 by Friday but did not come out of
the "fear" state.

Meta-universe
and crypto regulation in Russia

The FxPro
Analyst Team emphasised that Meta is exploring the possibility of creating a
cryptocurrency for the meta-universe to boost revenues due to the decline in
popularity of their cash cow apps, Facebook and Instagram.

Russian
Prime Minister Mikhail Mishustin said that 10 million Russians have over 10
trillion rubles ($128 billion) in crypto wallets, which is just under $1,000
per Russian resident. He also called for regulation of cryptocurrencies,
although he rejected their recognition as a means of payment.

The
Economist Intelligence Unit believes that the war will accelerate Ukraine's
cryptocurrency adoption. From examples in Africa, the Middle East, and Latin
America, we have previously seen that the use of cryptocurrencies increases
dramatically when national economies and local currencies weaken.

This article was written by FxPro’s Senior Market Analyst Alex
Kuptsikevich.