It's hard to say, hopefully the situation doesn't end up in armed conflict specially because that is what the US regime wants (I personally believe the Keshmir terrorist attack was CIA's work, there is just too much evidence suggesting it).
A lot of neighbor countries like Iran are already trying to de-escalate the situation and prevent war from breaking out because the last thing we need in our region is a war.
But if it does, the consequences of it could destabilize a wider region in the world and it is not just India and Pakistan that are going to be involved and affected. China and US are already picking their side and sending weapons to basically fight a proxy war there!
It could also affect the global supply chain as the conflict could also pour into the Indian Sea, and maybe even Arabian Sea and affect a lot of shipments that pass through the region.
Depending on the scale and the effects on the global economy, the result in the crypto market could be different.
India and Pakistan conflict is more like a religious battle. The US who claims to be world power was supposed to bring the high rising tension to order but they didn't do that, infact they were more focused on inciting India the more, to go against the Pakistan. Maybe they thought Pakistan are weaker and might not have enough backings but good Muslims countries like IRan,turkey and Yemen would never abandon one of their own in the hands of an Enemy like the US and have already show readiness to joined the war,Turkey have sends their most powerful wars fleets to Pakistan as show of force. i believe since IRAN is getting involved and have offered to meditate in this matter,I think they will sort out a possible solution for peace and like you said,the region doesn't want war.