Wars will generally seem to have a negative effect on Bitcoin, it happened when the Russia and Ukraine war broke out and we have seen it repeat during the ongoing Isreal and Iran war. But somehow, Bitcoin finds a way to overcome the impact of these wars, this is why I believe that the ongoing dip in the price of Bitcoin will not last long and Bitcoin will revise to the upside irrespective of what either party to the war does. This is even the best time to buy.
Doesn't Bitcoin rally during the Russia and Ukraine war? I think many have converted their money to Bitcoin in fear of losing its value, as a result Bitcoin jump in price. Although during the Iran and Israel War, it is somehow opposite so from these scenarios we can't actually be sure to say that war has a negative effect on Bitcoin.
If I remember correctly, the war between Russia and Ukraine broke out in February 2022 and at that time the price of bitcoin was around $40,000. And according to recorded reports, the price of bitcoin dropped by 8% when the news of the war broke out, but just a few days later, the price recovered strongly thanks to the surge in demand in these two countries. But bitcoin price dropped to $15,000 by the end of 2022 as the war escalated and inflation peaked. Bitcoin was stagnant at the time, and only really recovered and skyrocketed when news of ETF approval came out.
Simply put, war affects the world economy and bitcoin depends on economy, so it is inevitable that it will be affected.