Last month China’s central bank, the People’s Bank of China (PBoC), published a memo criminalizing practically all cryptocurrency activity. When the memo started circulating online, Bitcoin’s (BTCThe price of the () dropped by 6.5%. Industry experts said that this news was the perfect opportunity to dip-buy.

China’s crackdown on crypto started years ago, to the point thatIt suffered the worst mining difficultiesIn July 2018, the figure was nearly 28%, when miners fled China to take advantage of tighter government controls on bitcoin trading and mining. The crackdown saw the computing power securing the Bitcoin network — its hash rate — drop by nearly 50%. The PBoC’s recent memo meant every remaining mining operation and exchange had to shut down.