Chinese Media Says Bitcoin Could Completely Collapse

After dipping below $18,000 over the weekend, many expected bitcoin to sink further to lower levels. The cryptocurrency, however, managed to climb back up and hold above $20,000 throughout the week. Despite this commendable resistance, the Economic Daily, a Chinese state media, believes that the current bear market could spell the end of bitcoin and drive its price to nothingness.

An opinion that fairly well reflects Beijing’s anti-crypto stance

Media belonging to the Communist Party which rules China with an iron fist, the Economic Daily violently attacked bitcoin in a recent publication. In particular, he claimed that cryptocurrency was devoid of intrinsic value and that speculation was the only engine of its growth. Therefore, the media assures that bitcoin will lose all its value as investors lose confidence in it. He added that the current bear market could precisely favor this crisis of confidence and accelerate the final fall of the cryptocurrency.

The Economic Daily also reported that the crypto market is riddled with fraud, manipulation, and pseudo-tech concepts that should be outlawed across the globe. The media’s view of this market is unsurprising since it easily reflects Beijing’s anti-crypto stance. As a reminder, the Chinese government has banned cryptocurrencies and all related activities last year. The ban on mining bitcoin and other cryptocurrencies had also led to a massive migration of companies in the sector to other countries.

Censorship with mixed results

Like government authorities, local platforms have also started censoring the use of cryptocurrencies and related assets. China’s leading social media platform, WeChat has decided to follow suit with its latest update. This states that accounts involved in the promotion of cryptocurrencies and NFTs will be restricted or prohibited and then labeled as illegal businesses.

However, China’s efforts to ban cryptocurrencies have proven futile as the country is once again the second largest contributor to the bitcoin hashrate after the United States. In addition to this stark evidence of violation of the mining ban, a latest report suggests that drug traffickers are using cryptocurrencies more in China.

A propaganda tool for the Chinese authorities, the Economic Daily is now involved in the fight that the latter are leading against cryptocurrencies. His analysis of the current bear market is clearly aimed at convincing local investors to dump their bitcoin positions. It could also be a strategy to encourage them to turn to the digital yuan instead.

Source: ZyCrypto

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Luc Jose Adjinacou avatar

Luc Jose Adjinacou

Far from having dampened my enthusiasm, an unsuccessful investment in a cryptocurrency in 2017 only increased my enthusiasm. I therefore resolved to study and understand the blockchain and its many uses and to relay with my pen information relating to this ecosystem.

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