Bitcoin Displays Uncharacteristic Calm Amidst Global Market Turmoil

Bitcoin, known for its unpredictable price swings, has been surprisingly stable lately. Its 30-day realized volatility has remained below 50%, outpacing the volatility of South Korea's Kospi stock index. This shift may be attributed to the introduction of spot ETFs in the US, which has led to increased institutional investment and more stable capital flows. As a result, Bitcoin has become a more appealing hedge against geopolitical uncertainty, maintaining its value even in times of global turmoil. While its volatility has decreased, major regional markets have generally exhibited less volatility than Bitcoin. The exception is South Korea, whose stock market has been heavily influenced by fluctuations in fossil fuel costs. The recent war between Iran and the US-Israeli coalition led to a significant increase in oil prices, affecting South Korea's economy due to its heavy reliance on imported fossil fuels. In contrast, Bitcoin has traded relatively steadily, supported by inflows into US-listed spot exchange-traded funds.