That was a lie. Everybody lies, but specially cultists. There are only a few good arguments for bitcoin and most of them are illegal. But resisting government sanctions is not one of them.
I've said the biggest hit to crypto would be government involvement.... Unless people are ok with doing things illegally, much like piracy has become the norm among millennials. Part of me thinks China is going to be buying the bulk of Bitcoin so they can have some leverage on it. I doubt the exchanges are liquid enough to pay their clients.
Platforms in China have to tell the goverment by Sept 20 how they will allow users to withdraw. I expect the price to continue dropping as people in China withdrawal thier money.
Some people expect the govt to open their own exchanges. Some expect the govt to issue a Chinese coin. Some expect the ban to be temporary until new regulations are put in place.
China had been the world's leading venue for bitcoin trading, with analytics site Bitcoinity estimating that the OkCoin, Huobi and BTCC exchanges had accounted for more than 90 percent of the global bitcoin market on Jan. 11. Well.... there goes 90% of the market
If this table is to be believed, seems like we've seen the worst? I do wonder about the other altcoins the Chinese may have shifted towards: Strong pull back is strong; halfway recovered losses already (Even in my most delusional, I didn't expect that). This weekend should be fun.
Had to see it coming, they even banned selling video game currencies in 2009. The Chinese really seem to like to control their currency. http://www.eurogamer.net/articles/chinese-government-bans-gold-farming_5