Snowden named the reason for the rise in bitcoin prices
Former CIA official Edward Snowden wrote on Twitter that China's restrictive measures against cryptocurrencies made bitcoin stronger. Snowden recalled his March 13, 2020 post in which he said he first wanted to buy the first cryptocurrency. Since then, bitcoin has risen nearly 10 times in price, despite a coordinated global campaign by governments to undermine public understanding and support for cryptocurrency, Snowden noted.
In March 2020, bitcoin fell to a local low below $4,000. Since then, the price of the asset has risen 1,225%. Today, on October 4, bitcoin is trading at $47,700.
At the end of September, the People's Bank of China imposed a complete ban on cryptocurrency transactions. The use of digital assets in the country now equates to illegal financial activities. After the announcement, bitcoin exchange rates fell by $3,000 per hour. The services provided by cryptocurrency exchanges to Chinese residents were also outlawed.
Due to the ban, Chinese online commerce giant Alibaba announced the cessation of sales of cryptocurrency mining equipment from October 8. Also about the suspension of sales of mining equipment said the company Bitmain, which plans to move production to other countries.
Harsh measures against cryptocurrencies began to be introduced in China at the end of May this year, following a call by Vice Premier Liu He of the State Council of China to tighten regulation of digital assets. Local provincial authorities began to ban cryptocurrency mining, and crypto-businesses began to leave the country.