Bitcoin (BTC) reached record highs in Chinese Yuan (CNY) amid an impressive bull rally in late February. However, things are more complex than what they look like at first glance in the financial market.
The BTC/CNY exchange rate reached ¥426,878.00 on February 28, as reported by Lex on X (formerly Twitter). Interestingly, Lex used this price action as evidence of Bitcoin exposing “bad financial habits of central banks across the world.”
This recent movement surpassed previous highs from 2021, as observed in the chart. Surprisingly, however, other indexes consider a different all-time high for Bitcoin against the Chinese Yuan.
BTC/CNY all-time chart. Source: Google (Lex, on X)
What is the Bitcoin price against the Chinese Yuan?
Essentially, there are no active direct pairs to trade Bitcoin against the Chinese Yuan (BTC/CNY), according to CoinMarketCap’s markets. Therefore, all Bitcoin prices in Chinese Yuan are indirect rates, using two other direct pairs as a peg.
In particular, most indexes do the calculation considering the U.S. Dollar, with BTC/USD and CNY/USD. First, the above chart measures the price of Bitcoin against the dollar. Second, it adjusts to the price of the Chinese Yuan against the dollar at that time.
Meanwhile, CoinMarketCap only sees the current value of CNY/USD and adjusts its historical records using the updated quotation. Notably, this index registered an all-time high of ¥495,230.28 per BTC in November because the Chinese Yuan lost its value against the U.S. Dollar in the past three years.
BTC/CNY all-time high and all-time low data. Source: CoinMarketCap
This makes the previous highs in 2021 different from what BTC was quoted against CNY back then because the USD/CNY rate was different. Effectively, Bitcoin is currently more expensive than ever for investors holding Chinese Yuan to acquire.
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