As we all know, Bitcoin was rising greatly and stabled at $4500-$4700 for last few days. Cryptocurrency market capitalisation was over $180 Billion and market was flourishing. People were investing money in cryptocurrency after seeing it's long potential. Everything was going great but then a news came from China government that they're banning ICO's in China.
That news impacted the Coinmarket Capitalisation to a great extent and the price of Bitcoin fell by $400 all of a sudden and within 24 hours. There was panic and most of the people were selling their holdings . Coinmarket Capitalisation got reduced by $20 Billion and market's growth hit a speedbraker.
Slowly, market tried to recover and it was recovering pretty fine, then another news came from China's popular and biggest exchange BTCC will stop trading and dealing in cryptocurrencies from 30th September 2017.
Now, this news completely destroyed the support levels of Bitcoin and it started to fall greatly and very fast.
Yesterday BTC was trading at $4100 and within 12 hours it fell to almost $2900. An approx $1000 steep fall because of single news.
Coin Market Capitalisation lost almost $30 Billion in 12 hours and currently total market capitalisation stands at merely $120 Billion.
Now let's talk about the BTCC Banning
BTCC, world's second largest and china based cryptourrency exchange announced on 12th September 2017 that it'll stop trading operations of it's Chinese branch.
As the news broke, the Bitcoin price almost fell by 17% and expected to fall further until it touches $3000 mark.
So, the news of a single branch of a single cryptocurrency exchange which still is working affected market by 17% decline in total market capitalisation and almost $600 sudden fall in Bitcoin pricing.
Although, BTCC other products will not be affected by trading stoppage. It will remain open and anyone can invest their money in those investment instruments.
Now, let's take this conspiracy part.
I was going through some Bitcointalk forums, reddit channels, some community groups and social media platforms and there was a huge discussion from some well-known crypto evangelists that China banned ICO's and BTCC operations under the conspiracy of a move to fall BTC price so that it can buy BTC cheap and sell those BTC at higher price later using that money to pay off their debts.
This seems like a very convincing move because China had a major share in crypto currency trades and if it wants, can change the course of Bitcoin pricing with a single tweet and we all know very well how a rumor affects Cryptocurrency markets.
Basically, China did play a really good move to surpass the crypto market and using it for it's own advantage.
BTC price are starting to recover at the time of writing this and trading at $3650 right now.
It means market is recovering, may be China's move has already given the benefits it needs.
In the end, it's again a conspiracy theory like many others. BTCC still have 14 days left for it's trading activity. Let's hope this ban may lift.
Thanks for reading ..!!
Author : @cryptonet