As investors, the question you need to ask yourself is what is China's area of interest? Don't blame China, only understand why they are doing this. In 2016/2017 China did the same thing. They were the first to run down crypo followed by the social media. Facebook banned anything Crypto in 2017/2018. For me, I am happy this is happening because they will push the prices of coin down and everything will enter the proper bear market where the market will correct itself.
We are not in the bullish market and we are not in the bearish market. What China is doing now is one of the indicator of a bearish market. The same China and other institutional investor in another two month will be seen buying and mopping up coins from the market and in another 2years from now, I can bet you won't believe what the market will be doing as per prices and market cap as compared to the current situation. The bullish trend will be massive after they have bought at the bottom.
People are positioning themselves for the next bull market. Am sure when the data is released, you will be amazed as to the volume of accumulations even by China herself and other institutional investors.