BlockBeats news, on September 27, according to CoinDesk, analysts said that over the past eight years, the price of Bitcoin has been positively correlated with the size of the Chinese central bank’s balance sheet. The 30-day correlation coefficient between Bitcoin price and the size of the Chinese central bank’s balance sheet is 0.66. Except for 2016 and from late 2022 to 2023, it has always been positive. On the other hand, Bitcoin’s 30-day correlation with the Fed’s balance sheet is -0.88, which is the lowest level since records began in 2016.

China’s central bank is considering launching an economic stimulus plan of up to 1 trillion yuan (approximately US$142 billion) to boost the economy, which has driven a sharp rise in Asian stock markets, especially the significant rise in the CSI 300 Index.

Analysts believe that this stimulus package may indirectly benefit Bitcoin as it may increase investment in blockchain and cryptocurrency-related projects. This economic easing may drive more capital into the digital asset space.

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