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#Unlock High Yields with BTC Staking Historical data suggests that “if oil goes up, Bitcoin will follow.”
Historical data shows that Bitcoin has risen by as much as 24 percent in a matter of days following sudden oil price increases.
Bitcoin (BTC) is not generally considered a reliable investment during periods of geopolitical uncertainty, especially when oil prices rise due to escalating global tensions. However, historical data shows that such periods present attractive buying opportunities for investors who are ready to take advantage of market disruptions.
Oil spikes coincide with sharp and temporary corrections in Bitcoin
In the face of conflict or instability, investors often turn to short-term government bonds and cash, preferring safety to volatility. However, historically, Bitcoin has outperformed in the week following sudden oil price increases, such as the recent rally that reached $77 per barrel on Friday.
Looking at the 15-minute price chart, there seems to be an inverse relationship between Bitcoin and oil. While WTI crude oil rose 19 percent between Wednesday and Friday, Bitcoin fell from $110,200 to $102,800. This pattern is consistent with the widespread view that Bitcoin is seen as a risk asset rather than a defensive asset. However, the longer time frame offers different insights.
Over the long term, data shows no consistent correlation between Bitcoin and oil prices. The relationship is quite volatile. However, periods of oil overvaluation have coincided with sharp Bitcoin corrections. After each event, Bitcoin prices have rebounded, rising between 16% and 24% in the eight days following the initial decline.
In the most recent example, on January 15, 2025, oil rose from $72.50 to $80.50 just six days earlier. This increase coincided with Bitcoin’s drop to $89,300 on January 13, before rallying 22% to $109,300 by January 20. This move came after the US imposed sanctions on Russia’s oil sector and US crude stockpiles declined for eight consecutive weeks.
Previously, on October 8, 2024, oil prices rose from $68.00 a week earlier to $77.50. Bitcoin initially fell to $58,900 on October 10, but gained 16% in the next eight days to $68,960. This rally rewarded investors who took advantage of the volatility triggered by the terrorist attacks in the Middle East on October 7.
A similar example occurred on August 13, 2024. After Libya temporarily closed its major oil fields amid reported mobilization by armed groups, oil rose from $74 to $80. Bitcoin fell to $56,150 on August 15 but recovered within days, reaching $65,000 on August 23.
While there is no guarantee that the trend will continue, oil prices have returned to their highest levels in five months. Historical data suggests that Bitcoin’s current level of around $102,800 could be an attractive entry point, targeting $119,200 by June 21, a 16% rally.