Bitcoin prices reached another record high during trading this weekend following news that China may rescind its ban on cryptocurrencies. Buoyed by positive sentiment from the People’s Republic, Bitcoin rose to a new high of just over $6,300, beating its previous high of $6,050 around a week ago.
A number of regulations and policies were examined at the 19th National Congress of the Communist Party of China. Among them was the decision to ban cryptocurrencies which caused Bitcoin to lose 25% of its value and drop to around $3,500 last month. Reports indicated that some of these ‘temporary policies and regulations’ were to be canceled, including crypto trading.
Even when cryptocurrencies are banned Chinese investors find ways to trade them. Many have turned to offline trading through platforms like Taobao – China’s version of eBay, and a number of chat groups. If the news turns out to be true we can expect stronger upward movement of Bitcoin prices in the near term as global demand is boosted. With most Chinese exchanges being closed it will take time for the market to re-establish itself in the country thought the move will be a positive one for all Bitcoin investors.
As is the case in Vietnam and Russia, the governments of Asia want to regulate and control financial transactions with cryptocurrency. It is only a matter of time before the west decides to emulate them.
Source. So is China coming back into the Bitcoin table or is this just another hoax news...just speculating to prop more the value of Bitcoin in the market? Now, whatever can be the outcome, the thing is that Bitcoin will continue to be growing. China is always welcome here since it is considered to be a very big market and the Chinese have this special kind of relationship with Bitcoin and we must not forget that a big percentage of the miners are still based in China.
But then again, China is a big source of headaches in the past so we are hoping the government would be behaving well this time otherwise it would be better to just leave things as it is anyway Chinese money can still find ways and means to get into the Bitcoin sphere even with the ban. Now, if this is just a plain speculation and can turned out to be a hoax then it can even be better for Bitcoin.
