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, Ethereum, And XRP In Freefall: What’s Driving The Current Crypto Slump?
  • 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, Ethereum, And XRP In Freefall: What’s Driving The Current Crypto Slump?

Bitcoin & Tether Trading at a Discount in China: What Safe Haven Narrative?

Nick Chong
Nick Chong
1 year ago
3 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.

On Sunday night/Monday, Bitcoin (BTC) spiked. Within a matter of an hour or two, the crypto asset gained a few hundred points, breaking past key resistances like they were nothing more than soggy sheets of parchment paper.

Related Reading: Report: Institutional Investors Are Behind Latest Bitcoin Rally; But Will BTC Keep Climbing?

As normal, analysts, especially those that were caught with their pants down by this move, looked to find potential catalysts that may have been a boon for Bitcoin. What they found was, by some measures, extraordinary.

The cryptocurrency market rallied at nearly the exact same time that the U.S. announced fresh tariffs on China, which resulted in a collapse in the Chinese Yuan and a surge in the price of gold. In other words, Bitcoin was instantly seen by many to be a safe haven asset, purchased by Chinese investors to mitigate the capital loss imposed by a falling Yuan and a rallying U.S. Dollar.

$BTC has rallied 📈 together with multiple safe-haven assets after Trump's latest tariff storm.

Will the trade war continue to be a catalyst for #Bitcoin's price growth? 🤔 pic.twitter.com/Ghf0eqvazF

— Binance Research (@BinanceResearch) August 2, 2019

Unfortunately for Bitcoin bulls, this may not be the case.

Bitcoin Trading at a Discount in China, What?

According to a tweet from prominent Chinese crypto venture capitalist Dovey Wan, investors in the nation are currently experiencing a discount — a “negative premium” — in the price of Tether (USDT) and Bitcoin (BTC), the two most popular digital assets in China.

Wan did not reveal where this price data is from, nor the extent of the discount compared to American Bitcoin exchanges. This was presumably done to protect the over-the-counter desks and exchange outlets that deal with Chinese investors, as trading cryptocurrencies is purportedly illegal.

Tether is now trading at a pretty wide negative premium in China mainland, same with Bitcoin

tell me more abt “Bitcoin is a safe heaven asset for the Chinese theory”

👀👀👀

— Dovey "Rug the fiat" Wan (hiring) (@DoveyWan) August 9, 2019

A discount goes against the narrative of Bitcoin being a safe haven for Chinese investors. You see, if BTC was really rallying on the back of traders responding to the fresh round of tariffs, there should be a positive premium in Chinese markets.

According to some Internet sleuths, who managed to get their hands on the price data of the Bitcoin market in China, the current discount comes out to around 1.3%. Sure, a 1.3% discount — which amounts to around $150 at Bitcoin’s current price of $11,800 — isn’t much in the grand scheme of things. But, in a market expected to have a heavy premium due to the safe haven narrative, any discount is seen as quite shocking.

Sticking With the Safe Haven Narrative

Wan’s comment comes in spite of the fact that over recent days, some industry executives and other commentators have lauded Bitcoin as a safe haven, specifically in response to the recent surge in tandem with gold.

Speaking to CNBC earlier this week, Jeremy Allaire, the chief executive of Goldman Sachs-backed crypto firm Circle, said:

“You can very clearly see some macro correlation there. I think the broader theme of, you know, Bitcoin specifically, crypto more broadly participating in these global macro forces is becoming more and more clear.”

Expanding, Allaire suggested that “Rising nationalism, rising amounts of currency conflict, and trade wars” are all “supportive” of an asset like Bitcoin, as it is non-sovereign, decentralized, secure, and acts as a store of value. He continued:

“It’s uncensorable, unseizable, these are really powerful attributes that for people who are looking at risk assets or looking at fundamental turmoil, it can be a very attractive asset in that context.”

He’s not the only one sticking to this narrative. As reported by NewsBTC previously, Tyler Cowen, a Bloomberg economist-columnist that formerly was a clear skeptic of Bitcoin, recently admitted that the cryptocurrency likely has a big future.

One of the four reasons he mentioned in his op-ed was the fact that rising levels of populism around the world will likely force prudent investors to look for safe havens/hedges suitable for our day and age — this being an alternative, uncorrelated asset like Bitcoin.

All this corroborates the theories that Bitcoin is the successor to gold. As  Chamath Palihapitiya, a former executive of Facebook and venture capitalist, told CNBC viewers a few weeks back:

“Bitcoin is the perfect hedge against the traditional financial infrastructure”. He elaborated that if fiscal or monetary policy is wonky, as it arguably is now, having Bitcoin is like “the schmuck insurance you have under your mattress”.

Photo by Yiran Ding on Unsplash
Tweet123Share196ShareSend
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

snorter bot token

Μόλις 27 ημέρες απομένουν πριν κλείσει η προπώληση του Snorter Bot Token – Η πρώιμη πρόσβαση δεν θα διαρκέσει πολύ

Snorter Bot Token (SNORT): Η προπώληση που μπορεί να γίνει το επόμενο κορυφαίο Telegram trading bot, εισέρχεται τώρα στις τελευταίες 27...

Ιωάννης Ριζόπουλος 1 hour ago
ethereum-stablecoins-pepenode-maxidoge

Ethereum chute, mais la market cap des stablecoins explose : vers un redéploiement de capital ?

Septembre 2025. Ethereum recule violemment, presque 9 % envolés en quelques séances. Les liquidations à effet de levier ont nettoyé...

guillaumev 1 hour ago
Биткоин и график

Strategy инвестирует $100 млн в Биткоин – институционалы укрепляют рынок

В моменты сильных ценовых колебаний именно институциональные игроки задают тон развитию крипторынка. Яркий пример – HYLQ Strategy Corp, публичная компания,...

daria 2 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

Bitcoin price news

Bitcoin Price Could Still Crash To $99,000 If This Happens, Warns Ostium Labs

Jake Simmons 13 minutes ago

Snorter Bot Token สวนทางตลาด! ICO พุ่งทะลุ $4 ล้านในพริบตา

Narongdet Chaiwit 20 minutes ago
Bitcoin

Central Banks May Stockpile Bitcoin In 5 Years, Deutsche Bank Predicts

Christian Encila 1 hour ago

Premium Sponsors

Press Releases

  • memecoins at discount

    Những Meme Coin Tiềm Năng Đang Giảm Giá – Liệu...

    9 minutes ago
  • パイネットワーク...

    13 minutes ago
  • ripple

    Ripple: Liệu Có Tăng Giá Vào Tháng 10? Đồng...

    17 minutes ago
  • altcoins

    Các Cá Voi Crypto Đã Mua Những Altcoin Nào Trong...

    22 minutes ago
  • Най-добрите мемекойни за...

    2 hours ago

Newsletter

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.