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Bitcoin [BTC] Immensely Outperformed Gaining Around 47% In U.S & China Trade War – Report.

In line with a recent ‘research report‘ published by ‘Grayscale’, Bitcoin [BTC] immensely outperformed standard wealth preservation assets within the ongoing United States-China trade war.

Updating “Hedging Global Liquidity Risk with Bitcoin” — a report originally from 2016 – Grayscale outlined that Bitcoin [BTC] accumulated around 47% within the period from 5th to 31st May. The other best-performing asset, the Japanese yen, gained about 2.1%.

Additionally, several assets saw a drawdown due the trade dispute, that is ongoing; the Nasdaq Composite index shed 8.7%, creating it the worst performer out of the world-wide equities.

Grayscale also added the depreciation within the Chinese yuan, a factor that others have already aforementioned spurred bitcoin’s bullish trend earlier in the month of May due to native investors uncertainty.

Adding further, the firm’s director of investments & research ‘Matthew Beck’, said:

“While the drawdown seems to be in its early stages, Bitcoin [BTC] is gaining a jump before these risks are completed reflected in the prices of other assets.”

The findings maximise a trend that has seen bitcoin gain from the geographical instability at numerous points this year. As ‘reported‘ earlier, events like Brexit seemed to exert the same impact on the price of ‘cryptocurrencies‘.

While admitting that Bitcoin is yet young for a hedging asset, Grayscale however confirms belief in its future potential.

Explaining further, Beck added:

“While it’s still early in Bitcoin’s life cycle as an investable asset, we’ve gathered evidences supporting the notion that it can serve as a hedge within the global liquidity crisis, significantly those that subsequently result in currency devaluations.”

However at the same time, other theories regarding the Bitcoin’s price rally earlier in May lean towards the non-political, like investors notionally experiencing ‘FOMO‘ [Fear of Missing-Out] following April’s initial surge.

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