I think this tweet from CNBC reporter Eunice Yoon sums it up very well.
If you are an investor in Bitcoin, then it has become a habit to look at the red chart at this time. Although this time, you can’t blame Elon Musk, because this is even beyond his control, because China has cleared Bitcoin miners from all over the country. However, it is still legal to own Bitcoin, which is even more confusing. China aims to maintain its authority over the economy, and Bitcoin certainly poses a threat to this process. With the help of blockchain, cryptocurrency can provide autonomy for most people, which is a threat to China. This also explains why they launched their own digital asset “Yuan”.
Beijing is the latest victim of this successful crackdown on Bitcoin miners. These miners make a living by using illegal methods. After all, mining is also a full-time job for many people. This forces miners to find places where they can continue their mining activities. This will definitely take a lot of time, which is very useful for those who wish to buy, as prices are likely to continue to fall until mining resumes.
Proponents of Bitcoin have resorted to buying more and “holding” their tokens, and they are also asking others to do the same. They are also not too worried about the migration of miners to the United States, because it eliminates China’s influence on the mining industry, which we recently learned has played an important role.
This of course cannot persuade someone like Jim Cramer to continue holding his remaining bitcoins. Jim is a TV personality and the host of CNBC’s Mad Money. As someone profiting from cryptocurrency, it is strange to sell most of the Bitcoin tokens. He also doubts the ability of the United States to respond to hacking attacks, especially attacks that companies using ransomware seem unable to prevent.