The government of China released new warnings against Bitcoin and the crypto market. Given the recent price drop, China finds the Bitcoin price is heading to zero. Local media reports that a release from the state-run Economic Daily restates the negative attitude of the authorities against cryptos. Regulators said Bitcoin is nothing more than a group of codes, and the returns mainly are related to buying low and selling high.
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According to the release, once investors' confidence in the coin collapses or when more countries declare Bitcoin illegal, the cryptocurrency will go back to its original value, which is completely worthless.
In a separate release, the Financial Regulatory Bureau of Shenzhen warned that crypto trading and speculation severely endanger people's property security, growing criminal activities, and impacting financial stability. The agency advised investors not to be involved in financial activities and to avoid scams.
In September 2021, the Central Bank of China banned all crypto transactions saying they were illegal. Citizens who would violate the law would be sentenced.
However, data analysis from different websites show that enthusiasts across the country have found ways to circumvent bans and stay active underground.
Note that since its launch Bitcoin price was said to reach zero a lot of times, according to reports more than 400. Currently the coin trades at around $21,200. In the last 24 hours, it increased by around 3%.