Crypto Outflows from China to Foreign Exchanges Fell by 40% After Govt. Strengthened Its Policies
In the first half of 2021, the outflow of crypto assets from China to foreign countries reached $28.3 billion, according to PeckShield, a blockchain security, and data analytics company.
This outflow was 1.6x of the total crypto asset outflow seen in 2020.
However, the amount of money flowing out of domestic exchanges, mainly four crypto exchanges in Mainland China and Hong Kong, fell by nearly 40% between May and June 2021 due to the strengthening of domestic policies on mining and trading.
It was in May when China first announced this year that they were banning crypto activities in the country. This was one of the reasons that the price of Bitcoin halved to $30,000 in May.
For the next few months, Bitcoin’s price continued to struggle. Then late last month, the Peoples of China further strengthened its supervision, adding overseas exchanges offering their services to Chinese residents through the Internet to “illegal” activities.
PBOC’s move against crypto has started to affect the people’s view about the digital currencies in the country, with the share of adults having “some” or “a lot” trust in cryptocurrency falling to 29% in August, from 45% in July and 43% in June, according to Jerry Sun, an analyst at Messari.
However, this time, the price isn’t affected, and it is finally making a strong recovery. On a rise ever since October started, Bitcoin went past $57,700 today, a level last seen on May 12.
Posting 8 green candles out of the last 11 days, Bitcoin’s price is up more than 32% so far this month.
As the leading cryptocurrency becomes a trillion-dollar asset yet again, it has been one of the biggest gainers in the market. With its 20% gains in the last 7-days, Bitcoin is also outperforming Ether’s 5.2% increase while currently trading around $3,600. ETH 0.96% Ethereum / USD ETHUSD $ 3,579.20
$34.360.96% Volume 19.07 b Change $34.36 Open $3,579.20 Circulating 117.89 m Market Cap 421.93 b 3 min Crypto Outflows from China to Foreign Exchanges Fell by 40% After Govt. Strengthened Its Policies 1 h ConsenSys Is Planning to Raise Funds at a Valuation of $3 Billion 1 d Robinhood Cites Regulatory Actions or Policies Towards Crypto as Business Risk in Filing
Interestingly, BTC’s latest gains come at a time when the USD Index is also near its 11-month high at 94.2, thanks to the US Federal Reserve suggesting that they could start tapering their monthly asset purchases in November.
Other notable gainers include SHIB which is up 20% in the past 24 hours and 250% in the past week while OHM is up 13% and 28% respectively. SHIB 14.94% SHIBA INU / USD SHIBUSD $ 0.00
$0.0014.94% Volume 6.18 b Change $0.00 Open $0.00 Circulating 10 t Market Cap 12.05 b 3 min Crypto Outflows from China to Foreign Exchanges Fell by 40% After Govt. Strengthened Its Policies 1 d Robinhood Cites Regulatory Actions or Policies Towards Crypto as Business Risk in Filing 1 d Bullish Week: Overwhelming Bitcoin Buying Sends OI to May Level While Net Dollar Longs Are Surging OHM 15.80% Olympus / USD OHMUSD $ 1,111.93
$175.6915.80% Volume 129.3 m Change $175.69 Open $1,111.93 Circulating 0 Market Cap 0
Overall, the total crypto market cap is now at $2.44 trillion, reaching closer to its $2.55 trillion all-time high from mid-May.