U.S names China currency manipulator in trade war. Bitcoin strengthens

The trade war between China and U.S intensifies causing the Nasdaq stocks to drop 3% for the recent couple of days.
The U.S labeling China as as currency manipulator caused the Yuan to drop in value. This label reduces economic activity between 2 of the biggest economic countries in the world. The currency devaluation of China causes citizens to lose spending power. People are forced to liquidate assets so they can use their Yuan to buy necessities. Foreign investment dries up as rich Chinese investors can't afford to keep assets(taxation from investment properties). Properties in locations across america get sold devaluing real estate assets. Stock markets suffer.

China now has cheap currency which gets bought up by other countries. The U.S has sanctions on Iran and China already has tariffs put them. China does not care about the sanctions when doing trade with Iran and so, they can get oil on the cheap. Until now, the U.S dollar was the reserve currency for trade in oil. Now, it is not. China can hoard large amounts of oil and the countries which have bought up the Chinese Yuan can now buy oil from China . This weakens the sovereignty of the U.S dollar because it is no longer the world reserve currency. This weakens the political and military presence of America. The U.S cannot track economic activity of other nations and terrorists.

America's main Asian allies are South Korea and Japan. However recently, Japan dropped South Korea from its preferred trading partners list threatening the global supply of smartphones. Japan supplies the necessary chemicals used to make complex chip sets and circuit boards. All countries want technological improvement and 5G is being created in South Korea. 5G is used in communication and U.S has strategic military bases on Japan, South Korea. This trade dispute between two countries cripple's America's international trade and strategic advantage.

All of these political tensions has caused much higher volatility in the traditional fiat currencies. Meanwhile, bitcoin has surged past $11000. Bitcoin has already done its bear market cycle and 30% correction to $9000. IMO, i don't see much more downward pressure other than traders taking profits here and there. Thanks for reading this post and congratulations to all of the BTC hodlers. Thanks for reading this post and stay tuned for more.

Japan and South Korea trade tensions article
https://edition.cnn.com/2019/08/02/business/japan-south-korea-trade-war/index.html