RATE Group | Weaker Yuan Could Lead to a Stronger Bitcoin
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Weaker Yuan Could Lead to a Stronger Bitcoin

01 Jun Weaker Yuan Could Lead to a Stronger Bitcoin

Posted at 07:03h in Bitcoin News by

Japanese crypto firm FXCoin’s senior strategist thinks a depreciation of the Chinese yuan may lead more traders to Bitcoin in 2020. 

FXCoin’s Yasuo Matsuda spoke to Cointelegraph Japan, saying Bitcoin (BTC) would likely be more popular among Chinese nationals facing economic sanctions due to national security laws as part of the government’s response to the COVID-19 pandemic. 

The strategist said people in China would be “frustrated with the recession of the domestic economy” and looking for an escape:

China’s strong position on legislation like the enactment of the Hong Kong national security law has been conspicuous, but the impact of the coronavirus has caused the domestic economy to fall into a recession. The incentive to move assets abroad is high, and if the legislation leads to economic sanctions from the United States, BTC will likely become even more popular.

Matsuda pointed out the yuan and BTC are not always correlated in the same direction. However, he expects…

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