Bitcoin prices {{BTC}} have shown a positive correlation with the People's Bank of China's (PBOC) balance sheet over the past eight years.
- The PBOC is considering up to 1 trillion yuan ($142 billion) in economic stimulus.
- This has led to a rise in Asian stock markets, including the CSI 300 Index.
- The correlation between Bitcoin prices and the PBOC's 30-day balance sheet is 0.66.
Experts believe that the stimulus could indirectly increase investment in blockchain and cryptocurrencies.
- Bitcoin is up 3% in a week and 10% in a month.
- Analysts predict further gains in risk assets, including cryptocurrencies, amid global economic stimulus.