After the war with Iran began, bitcoin (BTC) showed relative strength, moving differently from software stocks.

On April 7, blockchain media outlet CoinDesk pointed to the iShares Expanded Tech-Software Sector ETF (IGV) as a proxy for the software sector, and reported that the two assets have clearly diverged since the war.

Since the war broke out on Feb. 28, bitcoin has risen more than 5 percent and returned to above $69,000. It has also gained more than 0.5 percent over the past 24 hours. IGV, by contrast, has fallen more than 2 percent over the same period. The outlet viewed the gap as a sign that, at least in the near term, investors are beginning to treat bitcoin and software stocks differently.

The shift stands out more because the earlier co-movement has broken down. Over the past three months, bitcoin has fallen 26 percent and IGV has dropped 23 percent. Since the start of the year, both assets are down about 21 percent. Over five years, bitcoin has risen 18 percent and IGV has gained 10 percent, moving in the same direction, but bitcoin has been far more volatile.

They also differed in declines from peaks. Bitcoin has at times fallen about 50 percent from its all-time high in October, while IGV, after peaking a bit earlier, has dropped about 35 percent from its high.

Correlation indicators show the same pattern. In early February, the correlation between the two assets was so high it was close to 1.0, and they moved almost in lockstep. After the war began, the correlation plunged to 0.13, falling to near-decoupling levels, before rebounding to around 0.7.

The outlet cited differing drivers for software and bitcoin as a backdrop. In markets, concerns are growing that intensifying AI competition, especially in SaaS, could pressure margins and valuation multiples as competition intensifies and barriers to entry fall. Bitcoin, by contrast, is described as benefiting from geopolitical uncertainty amid assessments that it trades like a macro asset.