Can China be able to restore cryptocurrency? There's still hope - Bitxcon
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Can China be able to restore cryptocurrency? There’s s...
Cryptocurrency, News

Can China be able to restore cryptocurrency? There’s still hope

China clampdown on bitcoin mining in the spring of this year was preceded by one of the worst price crashes in the history of cryptocurrency.

From an all-time high of $64.000, BTC has fallen to a low of 64.000, BTC has dropped to a single quote lower than $ 30.000 in just a couple of weeks.

A massive influx from in the United States, combined with other good news, such as El Salvador’s bitcoin law resulted in a record rebound and the possibility that China might change its mind has led experts to review the information. Their forecasts. Should such a thing happen there is a possibility that it could cause an enormous price rally.

This decision should be taken towards the at the end of November.

The Chinese National Development and Reform Commission (NDRC) declared last week that it was seeking public input regarding its decision to include bitcoin mining in their listing of “discontinued” industries. There are some saying that it’s in response to the sky-rocketing cryptocurrency prices and the new US dominant position in space.

The public comment period will run until November 21 at when the country’s economic planning and the macroeconomic agency is expected to assess the comments and take an announcement on the position it will take in the near future.

“Lifting bitcoin mining from the banned list in China is a great thing for the cryptocurrency space,” Nick Spanos, co-founder of Zap Protocol and one of the pioneers of bitcoin said in The Independent. “It is almost certain to have a significant impact on the value of bitcoin as well as on the crypto market in general.”

What direction which direction will China take?

Although pro-crypto news outlets like Coin Telegraph have described the announcement as encouraging, and claim that the NDRC could alter its Chinese authorities’ skepticism toward bitcoin, other popular media in the region have expressed concern that the move could make things even worse. The South China Morning Post described the decision as possibly an indication of “the last nail that will be hammered into the coffin for cryptocurrency mining that is taking place in China”.

The mining of cryptocurrency was prohibited from the government agency back in September together with the People’s Bank of China ban that blocks transactions in cryptocurrency and financing. The services were not accessible to Chinese residents. As of July information taken from Cambridge Bitcoin Electricity Consumption Index (CBECI) indicates the mining activity in China was already dropping to nil.

It means there is nothing more China can make to increase its position against bitcoin. Some analysts are believing that any announcements out of China is likely to be in only one direction. The final outcome is that China decision withdraw itself from the crypto world will no longer have any significant influence on market trends.

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