Bitcoin Defies Expectations During Geopolitical Crisis

As the world grapples with a closed Strait of Hormuz and oil prices soaring past $100 a barrel, investors are taking notice of Bitcoin's unusual resilience. Unlike traditional safe-haven assets like treasuries and gold, which have failed to perform as expected during this crisis, Bitcoin has held steady in a tight range, up 4% since the conflict started.

According to Andy Baehr, newly appointed Managing Director of Asset Management at GSR, this phenomenon can be attributed to 'base camp,' a term he uses to describe the current market conditions. Baehr, who spent years developing the crypto index ecosystem at CoinDesk, brings a structural perspective to this market moment where nothing seems to be as it should.

The question on everyone's mind now is: will Bitcoin continue to defy expectations and rise further, or will it eventually succumb to market pressures? To answer this, analysts are watching the VIX, which currently suggests calm despite the turmoil in the world. The tokenization boom, however, may be built on demand that doesn't yet exist.