Bitcoin Forum

On July 6, the Central Bank of China closed down a Beijing-based company that provides software services for virtual currency transactions, and reiterated that no institution within its jurisdiction should engage in such transactions.
After the People's Bank of China reiterated its long-standing anti-crypto stance and warned institutions not to provide services to crypto-related companies, Bitcoin cut its earlier gains.
Why does the negative news from China always affect the price of Bitcoin? When does Bitcoin become less sensitive to negative news?

For a while, China can seem to affect the btc price because the majority of bitcoin mining farmers come from china, that's all. Until when? Do not know. The hope is that this is China's ultimate threat against btc and a form of China's seriousness that wants to remove its involvement so that no other policies from that country will affect the price in the future.

It seems that the Chinese government's ban on virtual currency mining last month is good news.A large number of Chinese miners have left China.
China's mining ban has dramatically reduced  competition for block rewards and improved the profitability for miners based elsewhere.

The lower difficulty - the coins easier to be mined - allows miners sell cheaper and stay still on profit. Maybe this answers - at least party - to the question from topic's title  ;)
Of course, it's not only this. There are other reasons that keep the price low, reasons I'm missing, since there are also news about more institutional investors about to come in, hence an increase in demand, which should help the price get back on bullish trend.

Besides the mining ban which actually had an effect to the network, it's mostly because a lot of bitcoin buyers are just retail "investors" who are expecting to get rich quick. They don't know what they're buying in the first place, hence why they're a lot more likely to impulsively react to negative press.

It could be because most of those big investors are in China if there are newbie investors there that are easily scared of the banning implementation they will probably sell their assets.  Even though was announced the recent ban on Bitcoin but still Chinese citizens still able to hold or sell their coins through a decentralized exchange.  So if most of them get panic, it will surely have an impact on the Bitcoin price.

That's the new investors that easily get panic selling, it could contribute to shaking the market price and the last one temporarily has a break time in most miners there or migrating into other countries.

It's not just negative news from Chinese government, negative news from anywhere including the US can affect the price and this doesn't happen only to Bitcoin only. I happens to other tradable assets too such as stocks, commodities etc. Markets always react to news as traders look to make some quick profits or look for opportunities of buying dips.

Have you noticed that such bad new about bans become rampant only when it's a bull run and never in a bear market?
Now you know why.

The time will come for bitcoin that it won't be affected anymore with such news or if it will be affected, it won't be that much anymore when it becomes stable. Most of the markets are being moved by negative news even in the stock market and that's not new anymore.
You also see that whenever Elon tweets negative and positive about bitcoin, it also moves the market based on what he said but these days I think that's changing and it's not that affecting much anymore.

China was playing a big role in businesses all over the world, so it's always possible that wealthy personalities would join bitcoin during glory days of btc pumps. However, when those several articles stating negatively about specific problems related on cryptocurrency in which China's involvement has been focused; I believed investors started to panic.

You should always anticipate that every negative news that do connects or correlates with Bitcoin would really have the chance on making its market react nor being affected.
It might not be always or most of the time on having some effect but most likely there would be some reaction on the entire market which might dragged off bitcoin to the
floor or wont really make any significant effect. When it comes to sentiments or news then bitcoin is always been like this on where its neither it would react or not
but the thing matter most is that it do really recovers after some nasty dump or price decrease.

China held a very big chunk of btc in total as a country, so anything coming from there used to shake the markets very often. They were alone the market makers, but after institutions took entries in crypto, China's level of impact is not as same as it was. While China is selling, institutions from the whole world are buying btc for cheap because of them.

The crypto currency market is big in China. Hence any negative news from China will have an effect on the price of bitcoin. This is because, as soon as China announces something that goes against bitcoin, isn't it normal that their people will start selling their coins they are holding? And with this the rest of the world also starts to panic. So they start selling too causing the price to dip further. The recent mining ban also had a very huge effect on the bitcoin network. These are just temporary though. The affects are seen only for short term.

that's very correct. most of the miners are also located in china. and if they are cracking down all these miners, what they will do, is sell some of their bitcoin if they haven't find a way yet how to get out of their country. but there are  Chinese companies that already setting-up their mining facilities in US  (https://www.cnbc.com/2021/06/15/chinas-bitcoin-miner-exodus-.html). the effect may be temporary as they go to other crypto-friendly countries and set-up their mining facilities. the crypto market in China is big, considering its population who are into crypto. so yeah, we can feel the impact whenever there is negative news coming from this country.

Whales control public opinion and release good or bad news to influence currency prices.
In this case, if we react in the opposite direction, will the probability of profit be greater?

Because it affected the people, and people are the ones who demand Bitcoin hence it affected the price of Bitcoin. In reality, it shouldn't have that much of a huge effect on the market tbh, it's just that most investors are quick to judge and decide, not really bothering if it would or even should affect the market. As long as two points of notice are in the news, Bitcoin plus any negative idea, then they'd immediately agree for some reason without really even understanding if it actually has an effect or not.

Long story short, people get affected by news, and they affect the market.

I would not have written this so politely ;)

The news are spread to manipulate the market and either sell BTC expensive or to be able to buy BTC cheaply. Especially newcomers to the market fall for it and sell their coins in panic - or get into coins like Doge at 70c, because they hope that this will be the next Bitcoin.

You could say that it was that way but if you think about it, almost every news around the world is used to manipulate the perspective and mind of the public. I mean that's the point of news, to make sure that something about someone is immediately known and have the peoplle judge them what they think about that someone. I think that China's deeds being reported isn't anything new plus they are a big country so expect that they will be influential to something.

It may worth mentioning that this is so much visible for Bitcoin and crypto markets only because there the price fluctuations are usually/normally much wider, in both directions.
I don't know though what could make Bitcoin's price daily variation stay within much smaller range. Removal of stable coins maybe? Or more institutional money locked in?

I think one thing we should understand is that, negative and positive news from high profile individuals, companies or government have always been one of the main drivers of the financial market, negative news has sometime and still affects other financial markets like forex, stocks, etc, this is to affirm that negative news impact on prices of assets is not limited to bitcoin alone, and this is not entirely bad, cus the negative news always create a buy opportunity for true believers who then sell for good profit when the positive news comes and prices go up.
And for when China's negativity on crypto will loose its effect on bitcoin, truth is that no one can tell, but since China have outrightly banned bitcoin and everything relating to crypto currencies in their country, it's only a matter of time before their negative stance on crypto stops affecting the market.

I really hope that China will be more positive.
Cryptocurrencies are being adopted more widely across the world, and different countries need clearer regulatory frameworks.
In my opinion, more supervision is a positive signal.

This news did not affect the price and the price of Bitcoin did not decrease because of it. The price of Bitcoin is now stable and the reason for the current fluctuations is due to supply and demand, which makes the price fluctuate in the range of 5% and sometimes up to 10%.
News from China is often false and inaccurate, and even the real ones do not affect the price.
The way we view the price and the news channels try to link the changes to the price is an attempt by them to get free views or hot titles only.

Because China is influential in the cryptocurrency industry with them recently holding the biggest mines in the world and with that the hash rate of bitcoin, and thus when they do something related to cryptocurrency, then be sure that it will affect the prices. Not to mention that they have a big population.

But wait, I thought the companies in China were already banned from doing crypto for a long time now for sure at least since last year. As OP itself says, central bank there already has longstanding anti-crypto position so why is this news?

Besides, negative news from China always affects. That's NORMAL. China and USA and everywhere, OP.

China does always make surprising news, this time by using its greatest strength as a bitcoin miner, China prohibits mining activities, and of course this has a big impact on the development of bitcoin. but I think this is only a problem for a moment, because it will soon grow back to normal, because on the other hand many people see this as an opportunity

I don't also get why this news from China can cause bitcoin's price to go down. It's like when they release news about bitcoin, media and people around the world panic to sold their bitcoin. They have been like that for many years now, bad news always comes from them yet they have the majority of bitcoin miners. If a country hates bitcoin, then what's the reason for those miners operating for many years now. Why people around the world are afraid that they always bring that big impact on the crypto market.

Because many mines in the world are in China, when China issued a ban on mining, it had a great impact on the price of Bitcoin, but I believe that with the relocation of these mines, China can no longer control more When computing power, the impact on the price of Bitcoin will become less and less, and there are also many newcomers to crypto trading and investment in China. When they see the price drop, they will sell their cryptocurrency due to panic. The market price will fall. Whether it is China or the United States, the ban on Bitcoin by sovereign powers like this will have a series of effects on the market.

I am envisioning that if China says it supports it, the situation may be even worse. As long as it is not declared that holding Bitcoin is a crime, it should not be considered too bad news.
The news of the last few times has the same meaning as the news of previous years. I don't feel much about it, unless new investors will panic.

Why people around the world are afraid that they always bring that big impact on the crypto market.[/quote]

The reason is simple. The US economy is the largest global economy in the world today. The Federal Reserve (fed) formulates US monetary policy and sets benchmarks for global monetary policy. The world does depend on the United States. The importance of China in the world is growing rapidly, and they will participate in this discussion, but they have not yet reached the point where they dominate global monetary policy. This requires more time. In addition, the number of miners in China is large, and the attitude of the Chinese government determines where the miners will stay.

The bitcoin price change will never be separated from negative/positive news because that is what naturally happens to an asset...

The Bitcoin market in China is quite large and the Chinese government is so strict with its citizens that they are afraid to violate it if they are still in the country. their psychology is disturbed when there is news like this, that makes a big sale and makes the price drop.

Perhaps the impact that the Chinese government news has made towards the price of the coins in the market can be interpreted how influential is China as a country. As it is said that majority of miners are from China, also with its population and the people who are being under their influence, the impacts that it can give to market price is somehow can be understood from here.

China's sphere of influence is not confined to the crypto industry, their sphere of influence can affect different industries when their economies are claimed to be very strong and inclusive in terms of mining and manufacturing industries, moreover, the mining industry is relatively public in China and the recent sealing shows that the development level of this industry is huge in China, quite a few factories have migrated. Bitcoin may lose its stability in value but this is a joy for some people as mining activity is relatively smooth during this time.

First of all I think we should look at how china has been a big part of the cryptocurrency community. They had a lot of miners who were part of the community and steady supporting all day, to the extent a lot of people even felt like Bitcoin is owned by the Chinese. So when a big part of something is affected, it hits badly. And that’s what’s happening with Bitcoin. Since has a strong community here, when their government decides to ban cryptocurrency, it affects the market a lot. But that doesn’t mean that it can bring an end to it, it can only affect the market for sometime and later it will still pick up.

Despite of the hate to China, we can’t deny the fact that they have more numbers of crypto enthusiast, they have the miners and they have the people who appreciate technologies and cryptocurrency this is why the market always react every time we hear a news from China. This is just a temporary ban for sure, China did this before and when the time comes, they’ll accept cryptocurrency again as legal.

They are known to be the biggest hash rate in the world so expect that influence brings more people to be curious and believe if there's a news came out on their country, And despite all of that the banning will provably temporary as maybe they are just flexing their powers to the world that they are strong  and want to dominate also on digital economy but if they cannot succeed with it  for sure they will adopt bitcoin and accept it as legal unto their country but we don't know on when this one gonna happen.

I remember how such negative news from China used to panic me in the past until I got to understand that what holds Bitcoin is the community and not a single whale or country. I believe those who still sell whenever there's bad news from China are weak hands who don't truly understand the mechanism of Bitcoin. Most retail traders and ignorant hodlers are guilty of this. Until traders begin to see China as JUST another ordinary country, they will continue to lapse into panic whenever China sneezes.

CHina have biggest resources in cryptocurrency market, start from miner which is mostly located in China. So when they crackdown miners , the market will have negative response for it. its not enough to describe about china power, they still have policy and infinite fund to crack price in market.

Well, that's a good thing if you are not driven by their black propaganda since this is always the usual way they will continue to do once in a while. I don't know if they still did something like this when the market is in bearish trend but all I know is that they usually release those negative news as if to create a fud whenever Bitcoin is in the bull run.

It seems that they wanted to manipulate the market by using their influence or so to make some profit once in a while. But regardless of what they may be doing they still banned miners operation on their country, perhaps they are true about it this time and it's not part of the plan.

it is always like generally. A big country will have bigger power and influence to something in concert. Like China, they are a big country with big power, moreover in mining Bitcoin. many miners are coming from that country. And when it is banned, it will really influence Bitcoin news. China is often offering FUD to crypto which makes the crypto market dropped suddenly and significantly. It is like almost every bullish trend, this country will create a certain ban in everything about crypto.

No asset is completely immune to bad news especially when in the case of bitcoin there are countries with extreme stances and they are in fact using this to try to generate FUD and see if they can destroy this market this way, so when you understand this then it is easy to see that bitcoin is never really going to develop immunity to these kind of attacks, however as it becomes more popular and people understand its nature then the impact of this kind of attack will go down.

Such news as Cracking down on miners is not palatable. Maybe because you don't have idea of the influence of Chinese to bitcoin mining. According to statista, 65% of the world mining hashrate is from China. There have been numerous news that Chinese government is cracking down on miner, if the hashrate drop, rate at which transaction get confirmed also drops. Such news is not pleasant to here

Not just many but massive amounts of coins are being mined from China and such a ban causes direct impact because all those miners would stop mining and will also look to sell their coins.

I don't think the impact is permanent though because we are already watching bitcoin recover and people did everything in their power to bring down bitcoin. Elon Musk announcing Tesla, China banning bitcoins and all the other big news combined were only enough to temporarily pull back the price a bit and now we are back to the path for the ATH.

^ Definitely right, because in China, there are large companies of BTC mining. That is not all about the news that affects BTC price, it is the action on China that makes BTC price shaken and also reduce because of the result in banning BTC miners which is hash rate drop that could have an effect.
However, with or without China, BTC will always grow its price and we don't care if China were banned BTC, later soon BTC's price will go up and recover. Nevertheless, there are some people there in China who still have BTC holding even it is banned.

This could be a reality in future provided we're willing to teach the new investors coming into the industry that all they'll hear about the bans in future are just a fud and they should never fall for them. The new investors are mostly does giving the worst reaction to this news and it's quite understandable as probably this is their very first experience and just like when it was our turned, we panic so they're likely to panic.

The whales knows this which is why they prey on the ignorance of the newbies, China news isn't the reason why the market is falling instead the reaction from the whales is what's making the market react to the news.

Only the whales have the willpower to influence the movement of the market while the retailer traders just follow. The market has alot of emotional traders which is why it's very volatile, the whales knows this and are taking advantage of it constantly.

Yes. Regardless of how much the market has evolved since China matters sunk it, China still holds a major influence crypto. For one, they have majority of the mining power in the bitcoin mining space ~ around 65-75% of the total mining power is from there and if this is taken aware without any alternative in place, it would affect bitcoin to an extent. But its a good thing that Michael Saylor from Microstrategy stirred up the idea of the Bitcoin mining council which may, in the near future, make the bitcoin mining space more decentralized while taking off more power and influence from China.

For now, most users and huge mining companies are from China so there's an adjustment in the market every time there's negative news. However, I believe that it isn't permanent. Time will come that any event of negative news from China wouldn't affect Bitcoin and other cryptocurrencies. They could ban it but Bitcoin will always have a strong foundation and it could stand alone.

News in general has so much effect on the crypto market which is another ways of manipulating the market. This is the fundamental aspect of trading which can trigger a lot of reactions in the market and every trader needs to be alerted and prepared for any that may come up. Most new traders are not so much knowledgable about the importance of news in trading which is another type of analysis that is used in analysing the market movements.

News from Chinese government sometimes do have so much effects on the price of Bitcoin because China is known to be the hub of industries in the world and also the epicenter of cryptocurrency mining and other related crypto machineries and softwares. They have one of the cheapest electricity tariff which make it a good center for mining and other crypto related activities.

The cryptocurrency market gaining more resistance against media news making traders to become more aware of the effects of circulated news on Bitcoin and its offsprings.

Could be shaken off but doesnt mean that it would be over.These kind of events does really give out some impact but eventually it would be resolved or recover later on.
So no matter what are the events and fuds that China do made off then it isnt really a solid indication that this market will fall down into the floor.They are really good on making out
decisions that do mostly affect negatively the market but we arent blind when in talks about recovery.

It's not a matter of how big a country is, remember that Russia is much bigger but they don't seem to be that powerful in crypto, I would say that it's the influence of the country that is being considered how it can affect things because influence means that there's some sort of fear and respect in them that what they do can move other people.

because people in that country cannot use their btc and that makes the price go down . the publication of this news makes others to panic and this is another cause of price decline .

if btc became more establish because people can build more confidence and will now ignore negative news . this could take a long time because some countries wont cooperate of permanently legalizing the use of btc .

All negative decisions made by the Chinese government necessarily lead to a decrease in the price of bitcoin. But there will come a time when the Chinese government will have no such decisions due to the fact that there will be nothing to ban, because everything is already prohibited.

It is happened that China has a huge number of bitcoin users and with a large numbers of BTC miners and of course the prohibition of China to used or connect in BTC will going to prevent them to interact with the crypto and this is the reason why China announced to ban bitcoin i really affect that market price of bitcoin. As of now I do believe that bitcoin or the crypto market isn't resilient enough to a piece of negative news either it is not from China or even it came from a well-known FUD person of bitcoin but I do believe that bitcoin will soon not be going to be affected in any kind of negative feedbacks.

Although it isn't just the news from China that affect the market but it's quite important to note, the Chinese government has been one of the most active government in the industry. They constantly have something to say about the industry, their news don't just cause a dump but also is the reason behind some significant gains in the market.

The industry has more of speculators than investors and majority of this speculators have little or no idea in the field of investing. They trade/invest with emotions and always waiting on someone to follow which is why the whales can easily manipulate them.

Bitcoin isn't just sensitive to negative news, it's also sensitive to positive ones it just depends on the mood the market is currently in for the news to have effect. In a bullsih market all positive news contributes positively to the market with negative news having very little to zero effect.

I think maybe when everything is well balanced out. Just look at the mining of Bitcoin for example, you will see that there are lots of miners located in China than every other part of the world. My research once shows that around 75% of miners are in China, that’s really huge, and when started their crackdown on Bitcoin it was sure going to affect the price of Bitcoin because they are big part of the community.

If it was just a small part of the community, and let’s say that their miners were contributing somewhere around 5% to 10 percent, it is not going to affect the market badly like that. We have seen other countries that their governments took similar actions against Bitcoin, but nothing happened, if there is, we didn’t even feel it.

Those events will always happen that is the thing about bitcoin, we are not seeing "china bans bitcoin" type of things for the first time, this is their millionth banning of crypto and somehow it is still valid there, even after this ban go check out the Chinese exchanges and there are still moves and the volume is down a lot but there is still some there.

Long story short we will have to face these news all the time and that doesn't change anything we just have to move on with our lives and ignore what they are saying with this because that is all we can do about it at this point, dwelling on why they did or how we can or whatever etc etc all those things are useless because it is not going to help us, which is why just pick up where we left from and move on is the only option we have and that is what we should be focusing on as well, that is the way bitcoin price can go up.

Right. Not just China, any negative news can affect the volatility of Bitcoin. However, China is where the most negative news comes out, and it also has a lot of impact on bitcoin. And of course, China is the most populous place in the world, with the most investors, crypto projects and Bitcoin miners. So China can always have a big influence on Bitcoin and the crypto market!

I think the answer is obvious here. China has its own digital yuan and in order to have a monopoly in finance, all competitors must be eliminated. As for the fall in the price of BTC, there is information that it was in China that the large mining capacities of BTC were themselves, and if now China prohibits everything related to BTC, then it is obvious that all miners and other companies are closing or transferring their activities, and this is a temporary decrease activity, which probably led to a decrease in the price of BTC. You must understand that for the stable operation of the BTC price and its price, it is necessary that the mining farms are not concentrated in one place, since if they are closed, a problem immediately arises, in this case the price drop.

Hopefully, it will not happen too long because we know that bitcoin is strong and will rise soon. I believe we will see much good news about bitcoin, which can lift the price to increase and reach a high price because that has always happened since a long time ago. China really impacted the bitcoin price and made the price down, but the market will settle and start to invite more people to invest in bitcoin. If the price is down, we have got a chance to buy bitcoin because once the price increase, and we can make a profit.

The points made about taking away the influence and mining power from China following the ban in the end might not be such a bad thing after all.

We know BTC mining has a direct effect on the circulating BTC and ultimately price, so coming up with a more decentralized alternative to mining should in the long run preserve the freedom that BTC provides to people, and in effect make it more attractive to the masses.

That's right. If we can manage to keep China's dominance to the bare minimum, there it would completely take off the fud that comes with it anytime China is in the news for the wrong reasons. When that's done, we can have a market that is free from all the China nonsense. Majority of bitcoin holders are macro-bullish at all times. This and along with the fact that the Bitcoin Mining council aims to keep mining operations as decentralized as possible in addition to best prices, taproot implementation soon. All this makes it bullish in the long term.

While you are right at the same time we know that FUD exists in this market so even if China banned every single aspect in which you can deal with cryptocurrencies, like mining, trading and holding that does not stop the Chinese government to announce they are banning it again or that they are considering even harsher measures against those that deal with bitcoin so they can send the market in a negative spiral if enough newbies listen to them.

Unfortunately they just have a lot of power over people and that is the issue, governments usually do have the right to change some laws which is correct in any nation, but in China things are a bit more different and that is the problem, we are talking about like people who can't even breath without permission from government type of deal, I have been part of way too many Chinese people who ran away from their nation because of this in previous job unfortunately and they talk about how part of their family is either poisoned or killed just because they talked about dislike to government.

So, when you are a Chinese person and they tell you to do something against crypto you do it without questioning it, hence this gives them more than a billion person marketing power and when it is anti-crypto you will see a ton of manipulation all over the world because of their power.

Chinese Government is not dumb,  They will not announce any ban if they order total ban of Bitcoin. They don't want to create FUD on the general market but rather to limit Chinese to use it and there is a big difference from fudding to limiting. But this selfish moves of Chinese government really affects the general market which is very inconvenient for all crypto users. I hope that they will just total ban Bitcoin so that we can all move forward without them.

I think everything works a little differently here. The news that we see does not affect anything, moreover,
 the dump that occurred is already embedded in the news, that is, first a dump occurs, then the news is linked to it so that it seemed as if the dump occurred because of the news.

We’re talking in general here every time China makes an announcement with regards to Bitcoin the market reacts on that and there are so many factors to be considered like the number of users in China, big mining companies and whales. If China made a good announcement, this is good to all of us but if they spread FUD, expect the red candles in a few minutes.

In China there are alot huge miners , and if i can say bitcoin miner centralized in this country. so it is why cryptocurrency market very sensitive with the issues that come from CHina. Imagine each miners hold thousand or even more bitcoin , and when CHina government ask to bank to stop service rellated with crypto ofcourse they will sell it immediately.

As you mean, China ranks as the largest and most centralized bitcoin miner thus influencing the development of bitcoin. But when the miners in China are expelled and banned, it will certainly have a huge impact on the price of bitcoin. the crypto market is indeed very sensitive, Chinese FUD is increasingly scattered which makes prices go back down.

This is he reason why China has been so manipulative of the market by creating negative influence from negative news solely because, they've got a lot of mining activities going down there. Looking at the fact that miners are the ones saddled with the authority of arranging transactions on the blockchain  and mining new bitcoin as well. Hence, an attack on the institutions involved in crypto creates a sudo believe that the government's are actually getting somewhere and a need to be cautious or play safe but for real, they are actually getting no where.

It only seems to work so well due to 5he fact that, China has a large economy in essence, a lot of crypto investors resides there so, once these news go viral, the sentiments plays out and you have people selling, flooding the market with bitcoin and then you see the law of demand and supply playing out.

That doesn't affect so bad at all, and what I see right now is the stabilized price of bitcoin which is currently building a strong momentum. My perspective of the situation of btc even though there's an ongoing negative news, potential market spikes will tend to occur someday. Unstoppable market will cause a panic buying, once there's a trigger point that might arise.

We have a continuation of the ban by the Chinese government, which was expressed in the fact that TikTok banned advertising of cryptocurrencies, including bitcoin on its platform. https://finance.yahoo.com/news/tiktok-bans-influencers-promoting-cryptocurrencies-194500204.html This is due to the fact that the owners of TikTok are Chinese citizens and are forced to comply with the laws of their country.

News from chinese government is always trolling us year by year, and whales take opportunity with that, they are buying fear and selling profit to us, but nowadays, the market participants mostly knew about how chinese and the whales playing with market, so it is not much affect anymore.
BTC today is more depend on supply and demand, this is good, sign of healthy market and give BTC chance to grow more.

we have seen this same condition in few years ago, fud from Chin actually could to identity when it will come. As always when bitcoin price hit the peak, they will spread negative issue to crypto market. With previous centralization on miner, they have power to manipulate market by cracking down all miner. But i am believe with our experience in the past, we could overcome this storm well, moreover in next few months or years, no more centralized miner in China.

Unfortunately that is the reality of those that are living at China and have no way to escape, however the interesting thing about this is that the Chinese government is in fact limiting by themselves their own power in this market by the measures they are taking, and this is good as they have enjoyed too much power for too long and it was about time it began to go down, it just a shame that the price of bitcoin has to go down temporarily as well but that is life.

The Chinese government is taking all measures to strengthen the digital yuan issued by them. And such measures include a ban on mining and cryptocurrency, because the digital yuan will not be able to compete with decentralized cryptocurrencies. Thus, the government once again deprives its citizens of a choice.

ecause China is the first economy in the world, absolutely all business in the world wants to get a market share in China, if such a position in business is the same in the world of cryptocurrency, do not forget that cryptocurrency is still based on hype, and China is still a country with huge opportunities and huge capitalization, I am sure that the lion's share of the world's cryptocurrency is accumulated there.

CHina government give some pressure to their citizen undirectly by banning cryptocurrency. They want digital yuan will dominate as transaction payment in their country and take alot benefit. Once again , as previous history China always banning tehcnology that bring advantages for the whole world. Remember google banned too in CHina and what happen now ?

I don't think is a question that it reply can come with affirmation. In fact it response is inconclusive because bitcoin is a people's project and money get invested in it by people so why such information comes, it causes panic in the mind of investors and they start withdrawing their investment in bitcoin by selling it or converting to USDT. This is natural even in real world, people sell of at the signal of a news indicating government policy that will reduce price.

No you're misunderstanding it, first the News comes in then the market react. After the market reaction, the news media published another article highlighting the impact of the news on the market while referencing their previous news so as to get more audience and it result to further drop. That's because more audience will get inform on the ongoing fud and fear comes in because there will be different speculation from their so called experts of further dump in the market.

This goes on and on, the more the market dumps, the more new article are been published and if mistakenly their speculation were to become a reality they predict more downtrend while referencing their previous prediction and this add more FUD to the community. This is what the media does and it's not just a coincidence but an intact at manipulating the market

The whales also add to the heat as they seized the opportunity to make more money as they also have the power to influence the market. With the combination of the news, media manipulation and that of whales, the market stands no chance against them which result in a complete meltdowns and market experiencing outrageous corrections.

It's normal nowadays due to different types of users and investors. We all have reasons why we do invest and trade and the news do affects the market whenever there is news. That's why it's not enough to just based on chart but also on news as well be updated on what is happening online as some influencers already in crypto that manipulates the market.

They can both control their nation to fullest while also allowing mining as well, that is not really what they did with banning bitcoin mining, hell they could have completely ban having bitcoin, but they didn't do that and only blocked mining and that is why I honestly believe that there was a whole lot of reason why they did this but having control is not one of them.

If they just feared about control, all they had to do was get those mining machines and make it a nationalized situation, that way they could have mined directly into the treasury of their nations, that is still profitable for the party and they can definitely make a profit that way without losing any power. So at the end of the day, we are going to end up seeing them realizing it is a mistake, and they will restart it, but I can guarantee you the reason wasn't about control, it was something else.

The crypto market is vulnerable to turbulence caused by various negative news. Not only the negative impact of China, just like Musk’s tweets will also affect the market. Investors will panic because of news or certain events. China is a big country with 70% computing power. Suppressing the virtual currency field will certainly cause investors to panic and sell off the tokens in their hands, causing the price of Bitcoin to fall, but this is temporary. I hope investors can overcome their own psychology and insist on holding Bitcoin. Not affected by the market.

It is difficult for investors not to be affected by government policies. If the risk is greater than the benefit, they will choose to miss it. Maybe the investment amount is most of their assets, so they dare not take risks.

Just like Chinese cryptocurrency investors, when they hear news from their own country, they will feel panic and will definitely choose to sell their bitcoins. Market turmoil is caused by various news. Good news will attract investors to participate, bad news will cause a sell-off, not only in the crypto industry, but also in other fields. This is the natural response of people to stay away from unfavorable things.