Geopolitical tensions typically trigger a predictable market shift: risk appetite evaporates, and investors rotate into safe havens. This isn't just theory—it happens repeatedly across cycles.

Here's the catch: crypto moves in lockstep. When global uncertainty spikes, equities catch the selloff first, but digital assets follow closely behind. Why? Because despite the decentralization narrative, crypto remains highly correlated with broader risk sentiment during stress periods.

Capital flows matter. As safe-haven demand surges—bonds, gold, stable assets gaining ground—the pressure on risk-on trades intensifies. For crypto participants, this means volatility tends to pick up precisely when geopolitical flashpoints emerge. The asset class behaves more like risk capital than alternative store-of-value in these moments.

Bottom line: watch the geopolitical calendar. It's often a leading indicator for crypto headwinds.