The Fall Of The Yuan Could Trigger A New Rush Toward Bitcoin, According To Bybit

The Sino-American economic war is flaring up again and dragging the yuan down with it. In response to Donald Trump’s aggressive decision to impose drastic tariffs on Chinese products, Beijing is countering by deliberately allowing its currency to slide to its lowest levels since 2023. Unexpected consequence? A massive rush of Chinese investors toward bitcoin, which has become a lifeline amid uncertainty.

Weakened yuan, strengthened bitcoin

The yuan plunged on April 8, reaching levels not seen in over a year. The Chinese central bank clearly shows its intention: to respond to trade tensions by loosening control over its currency.

Ju Wang, a currency specialist at BNP Paribas, warns that this downward pressure on the yuan is not temporary: it reflects a deliberate strategy by Beijing.

This aggressive monetary policy does not come without consequences. As the yuan loses credibility, many Chinese investors are now seeking stable and international alternatives.

Bitcoin directly benefits from this situation, becoming a preferred refuge in the face of the volatility of national currencies.

For Ben Zhou, CEO of Bybit, a globally recognized cryptocurrency platform, the correlation is clear: the more the yuan declines, the more the flow of capital into bitcoin increases. “We are witnessing a true tsunami of Chinese capital turning towards bitcoin, an extremely bullish trend for the cryptocurrency,” he asserts bluntly.

A lasting monetary volatility in favor of BTC

The Sino-American trade war is far from calming down, quite the opposite. Brent Donnelly, president of Spectra FX Solutions, even predicts insane volatility in the global foreign exchange markets in the coming months. In this context, bitcoin is gradually asserting itself as a strategic response to growing economic uncertainties.

Meanwhile, the United States dollar itself is experiencing constant erosion since Trump took office. Historically, a weak greenback is favorable to bitcoin, which then enjoys increased valuation.

Thus, in this complex dynamic where two of the world’s largest economies are competing to see who will further devalue their currency, bitcoin emerges as the winner. It not only becomes an attractive alternative for Chinese investors but also an effective protection against erratic movements in the foreign exchange market.

If the yuan continues to weaken under the weight of geopolitical tensions, bitcoin could very well experience an even more spectacular rise, solidifying its role as a modern and essential safe haven.