Why China May Secretly Trigger Bitcoin’s Price Breakout
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China’s expected interest rate cuts and economic stimulus could drive liquidity into Bitcoin, sparking a price breakout. Global Bitcoin reserve trends and U.S. policy shifts may amplify Bitcoin’s momentum in 2025. China’s economic policies may quietly spark Bitcoin’s next major rally. The People’s Bank of China is preparing to slash interest rates as part of a fiscal stimulus plan to rejuvenate its stalling economy. As Forbes puts it, Bitcoin entered 2025 struggling alongside global stock markets, despite speculation that China may have outpaced Donald Trump and the U.S. in creating a Bitcoin reserve. Previously, in a CNF update, Arthur Hayes foresaw a significant flow of capital into Bitcoin from China, driven by key economic changes. According to Bill Miller IV, a portfolio manager at Miller Value Partners, this policy shift could drive Bitcoin’s price higher, positioning China as a key player in Bitcoin’s bullish trajectory. Why Might China Trigger Bitcoin’s Breakout? According to a Forbes Digital report, China’s expected interest rate cuts and fiscal stimulus in 2025 could inject liquidity into markets, driving capital into Bitcoin as a refuge from economic uncertainty. Additionally, capital fleeing China due to economic instability may boost Bitcoin demand as investors seek safer or alternative assets. Currently, Bitcoin (BTC) is trading at $98,909.98, showing a 0.75% increase in the past day and a 5.45% rise over the past week. Strategic Bitcoin Moves on the Horizon Beyond China’s stimulus, Bitcoin could gain further momentum through U.S. policy changes under the Trump administration. President-elect Donald Trump has proposed creating a national Bitcoin reserve to position the U.S. as a global crypto leader. This initiative, paired with Trump’s vision of a friendlier regulatory environment, could catalyze additional gains for Bitcoin. Trump emphasized the need to surpass nations like China in crypto adoption, adding urgency to these efforts. Global…
Filed under: News - @ January 6, 2025 3:27 am