Over the past two cycles, Chinese stocks and Bitcoin have tended to rise in tandem. Now, thanks to a 6% budget deficit and monetary stimulus (not as large as during the COVID-19 pandemic or the global financial crisis, but still substantial—especially compared to the G7 excluding the United States), the CSI 300 Index appears to be joining the rally. The stock market's outperformance suggests that there's still more liquidity to come, and this cycle has more room to run.