šØš³ CHINA TIGHTENS DOLLAR LIQUIDITY: WHAT CHANGES FOR THE MARKET?
The Peopleās Bank of China (PBoC) announced an increase in the reserve requirement on foreign currency deposits from 4% to 6%, effective 15/11.
š What does this mean?
Chinese banks will be required to hold more dollars, removing around US$24 billion in liquidity from the foreign exchange market, according to Reuters estimates.
š Why does this matter for Bitcoin and Ethereum?
Fewer dollars circulating in the global financial system could affect risk appetite. While there is no guaranteed direct impact on the price of BTC or ETH, global financial conditions will become tighter.
š Objective: To manage the yuanās rapid appreciation.
#China #MacroEconomia #Bitcoin #Ethereum #LiquidezGlobal $BTC $ETH $BNB
The Peopleās Bank of China (PBoC) announced an increase in the reserve requirement on foreign currency deposits from 4% to 6%, effective 15/11.
š What does this mean?
Chinese banks will be required to hold more dollars, removing around US$24 billion in liquidity from the foreign exchange market, according to Reuters estimates.
š Why does this matter for Bitcoin and Ethereum?
Fewer dollars circulating in the global financial system could affect risk appetite. While there is no guaranteed direct impact on the price of BTC or ETH, global financial conditions will become tighter.
š Objective: To manage the yuanās rapid appreciation.
#China #MacroEconomia #Bitcoin #Ethereum #LiquidezGlobal $BTC $ETH $BNB
