Why can a piece of news from the Chinese government affect the price of Bitcoin?

[jaberwock]

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.

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.

[Beparanf]

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.

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.

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.

[dotcoin.info]

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.

[crzy]

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.

[Helpme_please]

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?

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.

[taufik123]

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.

[Smartvirus]

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?

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.

[Hippocrypto]

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?

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.

[tvplus006]

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.

[lenovop-70]

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.

[Helpme_please]

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.

[Silberman]

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.

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.

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.

[tvplus006]

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.

[MIner1448]

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.

[Menawi12]

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.

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 ?

[palle11]

When does Bitcoin become less sensitive to negative news?

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.

[CryptopreneurBrainboss]

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.

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.

[dimonstration]

When does Bitcoin become less sensitive to negative news?

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.

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.

[sana54210]

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 ?

They just wanted to make sure that they still in control inside thier country, this kind of leadership put their people in cage,
no wonder why each time they implement rules impacts being realize inside this market,

there are numbers of investors from China who are quitely monitoring the situation inside their country.

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.

[JillianTaft]

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.