NewsBTC
No Result
View All Result
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Breaking News: Bitcoin Hits ATH Of $112,000, Expert Predicts Rally Is Just Beginning
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Bitcoin News
No Result
View All Result
Breaking News: Bitcoin Hits ATH Of $112,000, Expert Predicts Rally Is Just Beginning

Chinese Yuan Weakens to Yearly Low Point, Will it Strengthen Bitcoin?

Davit Babayan
Davit Babayan
1 year ago
2 mins read

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

The national currency of China weakened beyond a critical level as political tensions with the US worsened.

The yuan dropped below 6.93 per dollar this week, within a striking range of its January 2017 low, owing to a series of negative factors from weaker equities to a vaguer monetary stance by the People Bank of China. Despite the central bank’s efforts to preserve the yuan value by relaxing reserve ratios for banks, the market’s largest stocks fell by over 5 percent.

The latest drop of yuan contributes to an overall 9 percent loss against the dollar in the last six months, making the Chinese yuan one of the worst performing Asian currencies. With the price now forming downside sentiments towards January’s low, investors are already building up their positions towards the said downtrend.

“Investors are stepping up building positions betting the yuan will drop to 7 per dollar now after the currency breached 6.9,” Ken Peng, an investment strategist at Citi Private Bank in Hong Kong, told Bloomberg. “The RRR cut sends a strong signal that China is in an easing cycle and all external news makes a case for a stronger dollar.”

Bitcoin-Yuan Correlation

Researchers have previously established a mild inverse correlation between the price action of yuan and bitcoin. Before the PBOC ban took effect, China was contributing to the 90 percent of the overall Bitcoin trading volume that somewhat bridged the fundamentals of both the distinctive assets. However, with all the local crypto exchanges now either closed or offshored, the association between bitcoin and yuan has faded vastly.

The latest Yuan drop could enable PBOC to reintroduce stricter capital controls similar to July. Bitcoin traditionally has posed itself as an answer to any centralized finance control. The devaluation of Turkish Lira and Iranian Rial in the wake of US sanctions, for instance, had raised the local Bitcoin volume – and reportedly even the value – in those regions. However, this time around in China, no such impacts can be noted in the peer-to-peer Chinese crypto trades.

According to the data available on Local Bitcoins, the minimum Yaun-to-Bitcoin ask rate listed is circa $6,643 (46,000 CNY) which is only 20 dollars higher than the global standard, at the time of this writing. Similarly, the minimum bid rate is 30 dollars cheaper than the international Bitcoin rate.

The Bitcoin volume is also not showing any significant response to the depreciating yuan value. It means that the notion of investors bypassing undervalued fiat currencies by investing in cryptos is fading. Nevertheless, only big investors pouring funds into crypto sector would show some volatile global movements in price, which cannot be the case when a majority of Chinese Bitcoin community trades retail – under a ban.

In a broader perspective, a depleting correlation between fiat and crypto confirms that these assets have different fundamental factors working behind them. While fiat values are traditionally more responsive to global policies, inflation, interest rates, debts and whatnot, and cryptos, being a new asset class, responds to factors including regulations, investment influx, adoption in real time, etc.

Nevertheless, Bitcoin continues to pose itself as a last resort of struggling economies.

Tweet123Share217ShareSend
Davit Babayan
Davit Babayan

Davit Babayan

Davit Babayan is an Armenia-based expat balancing the academic life of a software design engineer with the experiences of a financial technology journalist. He aspires to be a full-time columnist and wants to write a book that would be called, "A Homeless Who Found Bitcoin."

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Related News

Bitcoin

Bitcoin Price Break Above $118,000 Just The Start, Analyst Unveils ‘Golden Number’

Bitcoin has rallied massively over the past seven days by posting an impressive price gain of nearly 9% after climbing...

Scott Matherson 8 hours ago

Pi Network Turns Heads With Symbolic Transfers, $20M Volume Spike

The Pi Network coin dipped to $0.46 today, slipping 6% in the past 24 hours. Yet trading volume jumped to...

Christian Encila 9 hours ago

Web2 Habits, Web3 Rewards: How FUNToken Makes Crypto Feel Natural

Millions of users spend hours each day engaged with mobile games, chat communities, and social platforms. They expect seamless interfaces,...

News BTC 10 hours ago
Load More

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Related News

Gemini分析比特幣升勢帶動示新牛市周期 Bitcoin Hyper等Layer 2項目引爆關注!

Kelvin Lee 23 minutes ago
Cardano price

Cardano Price Explodes 30% In Past Week — Analyst Calls $5 Next Market Top

Opeyemi Sule 1 hour ago
Bitcoin

Bitcoin Bulls In Cloud 9? Analyst Identifies Where Risk Lies

Opeyemi Sule 5 hours ago

Premium Sponsors

Press Releases

  • ビットコインが11万8,000ドルの最高値を記録する中で注目すべき仮想通貨プレセール

    ...

    9 hours ago
  • 仮想通貨 おすすめ|急騰するDogwifhatとFartcoin、注目の低価格ミームコインとは?

    仮想通貨...

    9 hours ago
  • 新しい仮想通貨価格動向|話題の最新コインの成長可能性

    ...

    9 hours ago
  • アルトコイン注目銘柄|2025年7月第2週に見るべき3銘柄

    ...

    9 hours ago
  • ロビンフッドが1ドルから始めるETHとSOLのステーキングを開始──今注目の仮想通貨投資はこれだ?

    ...

    10 hours ago

Newsletter

Be the first to get the latest important crypto news & events to your inbox.

  • This field is for validation purposes and should be left unchanged.

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Company

  • About Us
  • Advertising
  • Contact Us
  • Privacy Center

Social

© 2025 NewsBTC. All Rights Reserved.

  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play Games
  • Casinos
Advertise

© 2025 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.