BTC unflappable after new China’s attack on crypto
At first, China’s unexpectedly harsh stance on the crypto industry came as rather an unpleasant surprise to market participants. Typically, each time Beijing lashed out at the crypto market, bitcoin incurred significant losses. However, traders seem to be used to the fact that soon cryptocurrencies will be completely banned in the country. This is why bitcoin has also stopped reacting sharply to negative news from China.
China's ruling party took a severe stance on bitcoin mining and trading in late May. It triggered a mass exodus of crypto miners from China. Yet, in some provinces, mining hubs continue to operate. However, nothing would go unnoticed under the watchful eyes of China’s government. So, another province had to shut down crypto mining facilities. Anhui, in eastern China, has become the last province to ban cryptocurrency mining, saying the move will help ease an acute power shortage. Bitcoin remained almost unchanged after this news. China’s authorities order to shut down all crypto facilities in the province within three years.
Such a decision is rather predictable since the State Council's Financial Stability and Development Committee has vowed to crack down on bitcoin mining and trading activities as part of efforts to fend off financial risks.
China’s watchdog said it was its primary duty to raise awareness of possible risks related to crypto so that traders could choose the right investment strategy. It also warned not to participate in activities to popularize crypto trading or blindly follow trends related to cryptocurrency. It also advised traders to stay away from crypto as it may lead to financial damage to personal property, their rights and interests.