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: Coinbase Confirms DOJ Investigation Following Major Security Incident
  • 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: Coinbase Confirms DOJ Investigation Following Major Security Incident

The Chinese Yuan is Falling Once Again — and That’s Key for the Bitcoin Bull Case

Nick Chong
Nick Chong
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.

Last year, one of the biggest narratives in the Bitcoin market was that tensions between China and the U.S. — which culminated in a massive trade war — was pushing cryptocurrencies higher.

Whenever President Donald Trump tweeted about U.S. relations with China, BTC responded, both rising and falling with the geopolitical trends. Once, when Trump announced that tariffs would be applied to billions worth of Chinese goods, both Bitcoin and the U.S. dollar against the Chinese yuan jumped in tandem.

With the Chinese yuan starting to underperform, the narrative that geopolitical tensions are influencing the Bitcoin price has begun to be mentioned once again.

Related Reading: Crypto Tidbits: Satoshi Isn’t Dumping His BTC, China ‘Bans’ Cryptocurrency Mining

The Chinese Yuan is Faltering

Although U.S.-China relations were back on the mend heading into the last quarter of 2019, it is once again getting heated between the two world superpowers.

Responding to the record Hong Kong protests last year, the mainland Chinese government is looking to impose a stringent security law on the region. The U.S., which designates Hong Kong as a special economic zone due to its status as the most democratic Chinese city, has retaliated.

Trump said that he and Washington would react “very strongly” should the law pass, with others in government and around the world reacting the same way.

The Chinese yuan, as such, has sunk, breaking out of resistance as prominent Bitcoin investor and crypto executive Matt D’Souza depicted in the chart below.

Chart of USD/CNY trading pair from Matt D'Souza, CEO of Blockware Solutions and Blockware Mining and Bitcoin investor.
Chart of USD/CNY trading pair from Matt D’Souza, CEO of Blockware Solutions and Blockware Mining and a prominent Bitcoin investor.

Adding to the pressure against the yuan, the U.S. has begun to increase its pressure against China over its handling of COVID-19, with some members of government accusing China of acting complacent in the handling of the outbreak.

Boost to Bitcoin

Analysts say that this could be a boost to Bitcoin. Chris Burniske, a partner at Placeholder Capital, explained:

“If China’s CNY continues to weaken against USD, then we could have a 2015 and 2016 repeat, where BTC strength coincided with yuan weakness.”

If China's $CNY continues to weaken against $USD, then we could have a 2015 and 2016 repeat (pictured below), where $BTC strength coincided with yuan weakness. https://t.co/ISVJAZMX5O pic.twitter.com/VApfxe1SFw

— Chris Burniske (@cburniske) May 22, 2020

Considering that there is a sentiment that Bitcoin is a hedge and valid investment for the Chinese, this could very well be the case. BTC rallying on yuan weakness would also echo what we saw last year.

Far From the Only Macro Factor Boosting BTC

A falling Chinese yuan isn’t the only macroeconomic factor that analysts say will (or has) boost Bitcoin in the current times.

To respond to the COVID-19 outbreak, governments and their central bank counterparts around the world have been forced to spring into action. They have injected $20 trillion worth of stimulus (denominated in USD) into the global economy, estimates suggest.

Investors like Paul Tudor Jones — a hedge fund manager worth billions — think that this stimulus will cause great monetary inflation, driving demand for scarce assets like Bitcoin.

Related Reading: The $90 Million BTC Pizza Story Has an Unexpected Silver Lining
Featured Image from Shutterstock
Tweet123Share224ShareSend
Nick Chong
Nick Chong

Nick Chong

I am a writer who has been following Bitcoin for years now. My insights and interviews have been featured in leading publications in the industry such as LongHash and Decrypt. I own a small amount of 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

2020牛市模式7月升浪再現 分析師示警行情爆發BTCBULL成百倍幣首選!

2025年7月,加密貨幣市場正處在一個關鍵轉折點。資深分析師TechDev在社交平台X上向超過53萬粉絲發出強烈信號,指出目前的市場狀態極度類似於2020年牛市爆發前的技術格局。他通過TOTAL2圖表...

Peter Chow 2 hours ago
bitcoin

Bitcoin Realized Dominance Signals Weak Hands Capitulating, Strong Hands Rising

As Bitcoin (BTC) continues to trade within striking distance of its all-time high (ATH), a noticeable shift is underway in...

Ash Tiwari 3 hours ago
Ethereum Price Stagnates as On-Chain Data Shows Whale Accumulation

Ethereum Price Stagnates as On-Chain Data Shows Whale Accumulation

Ethereum continues to exhibit limited upward price movement despite earlier gains last week. Over the past seven days, the asset...

Samuel Edyme 4 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

Ethereum, ETH, Crypto

Ethereum Eyes Key Resistance As Price Reclaims $2,550 – Here Are The Levels To Watch

Rubmar Garcia 28 minutes ago
Bitcoin

Bitcoin Short-Term Upper Bound Is $117,000, Glassnode Says

Keshav Verma 1 hour ago
Whales Are Quietly Repositioning, Here’s What Bitcoin’s $107K Price Isn’t Telling You

Whales Are Quietly Repositioning, Here’s What Bitcoin’s $107K Price Isn’t Telling You

Samuel Edyme 2 hours ago

Premium Sponsors

Press Releases

  • 1 най-добра криптовалута за купуване преди да поскъпне с 2200%, според Кати Ууд

    1 най-добра криптовалута за...

    59 minutes ago
  • 1 Najlepšia kryptomena na kúpu predtým

    1 Najlepšia kryptomena na kúpu predtým, než vzrastie o...

    9 hours ago
  • O criptomonedă de top de cumpărat înainte să crească...

    9 hours ago
  • Szukasz najlepszych kryptowalut do zakupu w 2025 roku

    Szukasz najlepszych kryptowalut do zakupu w 2025 roku? Oto...

    11 hours ago
  • Best Crypto Payment Gateway for Trading in 2025

    14 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.