Yigit Taha OZTURK 
Arthur Hayes, the founder of BitMEX, claims that China’s response to the U.S.’s sweeping trade tariffs could lead to a significant capital flight into Bitcoin and other cryptocurrencies.
Could the PBOC Be the Catalyst for a Crypto Market Resurgence?
Arthur Hayes suggests that if the People’s Bank of China (PBOC) devalues the yuan, it could spark a new Bitcoin bull market. Hayes believes this could mirror the capital flows into Bitcoin seen in 2013 and 2015.
In the past, when the yuan weakened against the USD, it resulted in increased interest in Bitcoin. As the yuan lost value, Chinese capital flowed into cryptocurrencies, pushing Bitcoin prices higher. Experts predict this trend could repeat itself in 2025.
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According to Bybit co-founder Ben Zhou, a devaluation of the yuan could drive more capital into BTC, which would be a bullish signal for the Bitcoin market.
Historical Events and Bitcoin’s Rise
In 2015, China devalued the yuan by almost 2%, leading to its biggest single-day drop in decades. This period saw a rise in Bitcoin interest, although the direct cause-and-effect relationship is still debated. Similarly, when the yuan fell below the symbolic 7:1 ratio against the USD in 2019, Bitcoin also saw significant price increases.
Wealthy Chinese Investors Turning to Crypto
Analysts suggest that wealthy Chinese individuals have previously turned to Bitcoin and other cryptocurrencies to bypass government capital controls and preserve wealth. Furthermore, currency devaluations are believed to erode trust in central banks and government financial management, prompting people to turn to decentralized alternatives like Bitcoin.
Meta Description: Arthur Hayes suggests that China’s response to tariffs and a potential yuan devaluation could fuel capital flight into Bitcoin, sparking a new bull market in 2025.
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