Bitcoin was trading more than 13% higher today, above $43,000, following the sanctions unveiled by Biden administration, according to which Americans are prohibited from doing business with the central bank of Russia and freezes assets within the U.S.

The moves highlight the role of crypto in this military conflict, a type of environment where crypto never had the opportunity to show its potential significance.

According to Michael Rinko, venture associate at AscendEx, today’s price surge may be reflecting rate hikes getting priced out, noting that he is skeptical about the Fed’s ability and willingness to aggressively hike given the current uncertain geopolitical situation.