Coindesk analyzed that the slowdown in China's new credit growth could act as a downside variable for risk assets, including Bitcoin. The media explained, "China's 'credit impulse,' which indicates new credit flows relative to the size of its economy, is declining, and the recent Bloomberg index has fallen to 20.84, its lowest level since 2008. Societe Generale investment strategist Albert Edwards warned that a slowdown in China's credit creation could be a sign of a global economic slowdown, which could also put pressure on corporate earnings and the US stock market. This means that if risk aversion spreads, BTC will also find it difficult to avoid its impact. While an uptrend could continue if the influence of China's credit conditions has weakened compared to the past and US institutional funds lead the market, BTC could also show a concomitant weakness if the US stock market declines."
