Cryptocurrency

Bitcoin pasts $12,000 amidst growing trade war

Bitcoin pasts 12,000 amidst growing trade war

The Bitcoin surpassed $12,000 as many investors sought safety amidst the melting U.S.-China trade war and global macro-economic concerns.

The largest cryptocurrency in terms of market capitalization rose to a high of $12,291.3 on BitStamp exchange, the highest level since July 10, resuming its advance for an eighth day on the trot.

After the People’s Bank of China to devalue the yuan on Monday, U.S. President Donald Trump accused China to manipulating its currency.

Chinese state media hit back by stating the United States was “deliberately destroying international order.”

The onshore yuan is meanwhile trading 0.2 percent up at 7.0315 per dollar after it pasted the seven-barrier for the first time since 2008 yesterday. The offshore yuan gained 0.4 percent to 7.0697 per dollar.

Many Chinese investors have damped the yuan and resorted to safe haven cryptocurrencies, led by the Bitcoin.

Yet, some of the gains in the crypto markets were minimized after the People’s Bank of China opted to set the yuan fixing at 6.9683 on Tuesday, stronger than expected.

In July, the Bitcoin lost 6.58 percent to halt its five-month winning streak, but it may take advantage of the undergoing macroeconomic uncertainty, most notably the global growth slowdown and Brexit.

Goldman Sachs predict the trade dispute between the U.S. and China would not be resolved before the November 2020 U.S. Presidential election.

Regarding other major cryptocurrencies, Ethereum surged 1.86 percent to $234.19, Ripple added 0.26 percent to $0.3232 and Bitcoin Cash edge up $1.38 percent to $348.54.

The whole crypto market capitalization currently stands at $317.5 billion, with 24-hour trading volume at $69 billion, according to CoinMarketCap.

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