When geopolitical signals show signs of easing, the market often undergoes a deep reallocation of funds. Behind seemingly positive "peace signals," there may be a major shift in the crypto market—and understanding this is key to grasping market cycles.

Historical patterns are clear: during wartime, safe-haven funds flood into the crypto market. Once geopolitical risks ease, these funds tend to withdraw rapidly. Bitcoin's historical performance repeatedly confirms this—every time signals of regional conflict easing emerge, the market experiences short-term fluctuations and adjustments. The apparent rebound is often a sign of large capital quietly repositioning.

But a shift itself contains opportunities. When safe-haven funds exit during wartime, new incremental capital—focused on the global reconstruction narrative—begins to quietly enter. Infrastructure tokens, cross-border payment protocols, decentralized reserve assets—projects with practical applications—often benefit from this capital rotation. Looking back at past cycles, many foundational infrastructure tokens have achieved several times gains during similar windows.

The difference lies here: market sentiment focuses on "peace positives," but the real shift is in the change of fund nature—from hot money fleeing risk to institutional capital seeking long-term value. The latter has a bigger appetite but is more selective. Projects that only have narratives and lack practical applications are often the first to be affected.

**How to respond specifically?**

1. Review your positions: For tokens related to war concepts, if you have gains, gradually reduce your holdings while market sentiment is still positive.

2. Positioning: For mainstream infrastructure tokens, payment protocols, and other projects with practical use cases, build positions in batches.

3. Fund management: Maintain sufficient cash reserves. During the reallocation of funds, there are often phased pullbacks; having ammunition allows you to seize opportunities.

Remember one principle: news is noise; cycles are the melody. While others focus on headlines, you need to understand the underlying fund flows. Stay alert during greed, and recognize that panic is the moment to bend down and prepare.