According to an assessment published on CNBC, the recent US military operation against Venezuela could have secondary but significant implications for cryptocurrency markets.
The broadcast noted that the high inflation experienced in Venezuela over the past decade has driven both individuals and government actors towards cryptocurrencies.
According to analysts speaking to CNBC, Venezuelans have turned to mining Bitcoin and Ethereum at home to protect themselves against the long-depreciating national currency. Cryptocurrencies have become a stable source of income and a store of value for many Venezuelans. However, the most striking point is the allegations that the state may have similarly used crypto assets to circumvent sanctions.
The broadcast stated that there are numerous reports indicating that the Venezuelan government is converting funds obtained from oil sales via Tether (USDT) into Bitcoin. In this context, the possibility of the US seizing these Bitcoin assets has created significant anticipation in the market.
A CNBC commentary suggested that a scenario where the US seizes these Bitcoin reserves but holds onto them instead of selling them on the market could be a “bullish” factor for Bitcoin. A large stock of Bitcoin remaining illiquid could reduce supply pressure, creating an upward impact on prices. According to analysts, the fact that crypto markets largely operate based on expectations and sentiment accelerates the pricing of such scenarios.
The assessment also added that the potential impact would not be limited to Bitcoin alone. Using the expression “rising waters lift all ships,” it was argued that Ethereum, Solana, and other altcoins could also be positively affected by this process. It was noted that XRP’s relatively strong performance recently indicates increased risk appetite in the markets.
*This is not investment advice.
