The price of bitcoin at LocalBitcoins in Hong Kong exceeded the average market by $ 300 amid mass protests and reports of movements of the PRC troops.
So, we note that the mass protests and clashes with the police in Hong Kong have not ceased since June. The original reason for the demonstrations was the proposed changes to the law on extradition to mainland China, but then the protesters began to demand democratic reforms and the preservation of autonomy.
Last week, strikes led to a traffic collapse, and this Monday, Hong Kong Airport (HKIA) canceled all flights, which greatly complicated the task for those who were about to leave the city.
Today, the court allowed to restrict the sit-down protests in the territory of HKIA and some flights were given permission to fly.
2/2 The order in full: pic.twitter.com/obXvNU3SuJ
— Hong Kong Free Press (@HongKongFP) August 14, 2019
Meanwhile, rumors about the movements of the PRC troops near the border with Hong Kong also inspire concern. This information spread on social networks and was then confirmed by US President Donald Trump.
Our Intelligence has informed us that the Chinese Government is moving troops to the Border with Hong Kong. Everyone should be calm and safe!
— Donald J. Trump (@realDonaldTrump) August 13, 2019
The situation in Hong Kong has once again confirmed that people tend to use bitcoin as a protective asset in times of political and economic instability when fiat savings are in jeopardy.
Recall a similar situation in Argentina, where against the background of the crushing defeat of incumbent President Mauricio Macri in the primary elections, the price of bitcoin exceeded $ 12,000.
It is noteworthy that in China itself, despite the devaluation of the yuan as part of the trade war with the United States, bitcoin is trading below the average market price, which refutes the theory that it was Chinese capital that became the driver of several price leaps.