September 26, 2022

State Council of China Reiterates Ban on Bitcoin Mining and Trading: BTC Price Drops Below $37K

1 min read

It appears that Chinese authorities are doubling down on their reiterations of the previous crackdown on cryptocurrencies.

  • The current stark caution comes from the State Council of China.
  • According to a report released today, the Financial Stability and Development Committee of the State Council of China held a conference, pointing out that “the financial system resolutely implemented the decisions and deployments of the Party Central Committee and the State Council, increased assistance for the genuine economy, credit policies accurately adjusted to the requirements of market entities and so forth.”
  • The report, however, also discusses that the conference had a function work in aims to “prevent and manage financial dangers.”
  • There, the document reiterates the crackdown on “Bitcoin mining and trading behavior.”
  • According to Chinese media Wu Blockchain, “this is the very first time that the highest level of the Chinese Government has clearly proposed a blow to the mining industry.”
  • The news had a direct effect on bitcoin’s price, which toppled to an intraday low of $36,600, losing almost $5,000 in a single per hour candle light.
  • BTC/USD. Source: TradingView It’s worth keeping in mind that this is the 2nd time this week when China is recycling old guidelines, directly impacting the cost of BTC.