The development also comes one day after payments company PayPal announced plans to issue a stablecoin

Crypto markets were higher on Tuesday as long-dated government bond yields headed sharply lower across the world after weaker-than-expected Chinese trade figures for July. The development also comes one day after payments company PayPal announced plans to issue a stablecoin.

Bitcoin increased just short of 3 per cent over the past 24 hours to $30,068. It is bitcoin’s first foray above the $30,000 level since August 3. Other movers of note Tuesday include solana, toncoin and chainlink, all rising over 5 per cent.

China overnight reported a 12.4 per cent YoY drop in imports in July, more than double the decline predicted by economists. Exports dropped 14.5 per cent, worse than projections for a 12.4 per cent fall. Declines at those levels have not been seen since the COVID lockdowns, and the news indicates Beijing may have to take additional steps to stimulate China’s economy.

The U.S. 10-year Treasury yield is lower by 11 bps to 3.98 per cent. At one point last week, the 10-year yield was at a 2023 high just short of 4.20 per cent. Yields on long-dated government bonds across Europe are posting even sharper declines on Tuesday, including in Germany, where the 10-year Bund yield is down 15.4 bps to 2.445 per cent.

Some market watchers stayed upbeat about the longer-term growth of crypto markets in spite of the generally muted reaction to news Monday that PayPal is launching its own stablecoin (PYUSD), marking the first time a top financial institution is issuing its own stablecoin.

Users will be able to transfer PYUSD between PayPal and supported external digital wallets, use the tokens to pay for goods and services or convert any of PayPal’s supported crypto currencies to and from PYUSD.

PayPal USD (PYUSD), a U.S. dollar stablecoin issued in collaboration with Paxos Trust Co., is an important development in the digital finance landscape, stated Jeff Mei, COO of BTSE. Signifying the growing convergence between traditional financial systems and cryptos, this news is certainly bullish for the crypto market.