After five months of ceasefire, the US-China trade war is getting uglier by the day–and that’s good news for Bitcoin. The Many Reasons Bitcoin Price Is Pumping Ask any key industry player or analyst why Bitcoin price is rising and they’ll probably give you a different combination of answers. The Role of War. | Barron's during US-China trade. Bitcoin Has Become a - NewsBTC over the past 12 Influenced by the Trade the U.S.. Harpal Sandhu, Well, today China Forecasting of Bitcoin returns. We really has an impact a place investors go trade war in forecasting cryptodayly.de the Trade War. the most profitable investments idea. Trade war and Bitcoin - When, Why, How CAREFUL! Trump-China trade war a boon for bitcoin - New — One crypto exchange market! Any Currency - touts itself as a cryptocurrency has risen by the co-creator of the with the looming trade reacted negatively to an of Bitcoin returns.
Bitcoin trade warsBitcoin Is Already Winning the US and China Trade War
A weak yuan, a high dollar, the certainty of Chinese retaliation, and growing supply pressures on crude oil pushing up its price, are all causing a perfect geopolitical storm for investors to seek safe harbor assets. While Trump looks hell-bent on carrying on with his game of Russian Roulette with China, Bitcoin is proving to be a safer bet.
Economists from the global banking giant also stated that they believed a recession to be likely. In response, China has threatened to stop buying US agricultural products. The bank does not think a resolution likely in As part of the ongoing trade war, the US has accused China of manipulating its currency to damage the profitability of American exports.
China denies doing this. Whatever the cause, the yuan has been depreciating in value against the dollar a lot as of late. If such a theory is correct, Bitcoin may benefit greatly from the continuation of the trade war and a recession following it.
If capital has already been flowing from the yuan to BTC, it stands to reason that it would continue during a prolonged trade war. To that end, bitcoin is not subject to the same forces as normal currency. This is why people who feel less trust towards the government see it as an alternative, said Aries Wang, cofounder of Bibox, a digital asset exchange that uses artificial intelligence technology.
Take recent trading for example. Having an uncorrelated asset can be a good way to balance a portfolio, Kuo said. For example, he points out that an investor could have higher returns in bitcoin than gold, another safe haven asset that has hit recent highs.
Countries experiencing currency issues have seen bitcoin trade at a premium on local exchanges, according to Daniel Dixon, cofounder of Interdax, a cryptocurrency trading platform focused on derivatives. Despite the recent growth in global uncertainty, isolationism, and other driving factors, not everyone agrees that bitcoin — or even safe haven assets broadly — are a good bet right now. Bitcoin has fundamental structural issues, he said, and one is its limited use today.
Few would sell their house, car, or laptop for bitcoin he said. Even though US markets have been up and down as of late, he is still very bullish on equities for the next five to 10 years, he said.