(BlockBar) There have been speculation that the bitcoin’s recent rally past $8K actually a spillover effect from the ongoing US-China trade war. This has been precisely the case as a growing number of experts seem to believe this was precisely the case, this including many industry insiders too. They think there is enough solidity to back the theory. Bitcoin remains the most promising asset of 2019 up to now.
The trade war between the two major global economies has created the nervousness in the community of investors. Now it looks like the highest-valued cryptocurrency in the world could retain that title for the foreseeable future, more so now than ever.
CEO and founder of Digital Currency Group (DCG) Barry Silbert, is one of those many industry insiders who is convinced that President Trump’s aggressive stance on the trade war against China is increasing Bitcoin’s growth.Silbert pointed out that the steep rise in Bitcoin price over the past couple of weeks started shortly after the setback in US-China trade talks earlier this month.
“It’s certainly interesting that the [Bitcoin] price started its acceleration, moving up and to the right, when the trade discussions broke down.”
The DCG CEO explained that Bitcoin is trading up to the general expectations of being an asset that is relatively non vulnerable from the turmoils in the global economy.
He presented two examples of how Bitcoin traded smoothly during two of the major events in recent times that threatened the stability of the global financial sector: “If you look at over the past five years—when ‘Brexit,’ happened, Bitcoin went up. When ‘Grexit’ happened, Bitcoin went up. It doesn’t mean necessarily that the money will move into Bitcoin, but it just means that you don’t have the forced pressure of people selling the Bitcoin.”
Garrick Hileman, a researcher at the London School of Economics and the head researcher of Blockchain.com also has more or less a similar point of view on the US- China trade. According to him the bitcoin is setting its position as digital one that a growing number of investors.