The United States and Ukraine have reached an agreement on a proposed immediate 30-day ceasefire.
This development is contingent upon Russia’s approval, as mentioned in a joint statement following high-level discussions held in Jeddah, Saudi Arabia.
Kyiv has shown its willingness to accept the truce, which could be prolonged by mutual consent, provided that Russia implements it simultaneously.
“Ukraine conveyed its readiness to agree to the U.S. proposal for an immediate, temporary 30-day ceasefire, which can be extended based on mutual agreement, and which is subject to acceptance and concurrent action by the Russian Federation,” the statement noted.
In exchange, the U.S. pledged to resume intelligence sharing and resume security assistance to Ukraine.
“The United States will inform Russia that reciprocal actions from them are essential for achieving peace,” the statement indicated. Reports suggest that the negotiations in Jeddah extended beyond eight hours.
Bitcoin’s historical responses to global conflicts
Bitcoin has displayed varied reactions to international conflicts, with investors utilizing it both as a risk asset and a potential safe haven. Market fluctuations often reveal patterns of initial turbulence followed by recovery, and the current situation in Ukraine is no exception, as Bitcoin responded to the latest updates.
In February 2022, when Russian military operations began in Ukraine, Bitcoin’s price dipped slightly, falling below $35,000.
However, research shows that while Bitcoin trading volumes declined by 0.2% for every 1% rise in conflict intensity, the cryptocurrency’s price tended to rebound within about 50 days, demonstrating its resilience.
During the Israel-Gaza conflict in October 2023, Bitcoin’s price experienced an initial drop, reflecting the broader market’s concerns. Yet, crypto has frequently functioned as a safe haven during geopolitical crises, with certain cryptocurrencies seeing positive returns prior to such events.
After the announcement regarding Ukraine on March 11, crypto markets reacted positively, with Bitcoin (BTC) climbing above $83,000 and the overall market displaying slight gains.
In recent weeks, Bitcoin has been on a downward trend following President Donald Trump’s announcement of tariffs on Canadian steel and aluminum, along with mixed reactions surrounding the U.S. Strategic Crypto Reserve.