New BTC Drop To $7,100 Caused By China ‘Disposing Of’ Local Exchanges

The latest cryptocurrency news bring a new drop in the price of the most dominant cryptocurrency – mainly due to the fact that China recently vowed to dispose of all the local exchanges operating in the country. The new BTC drop to $7,100 was triggered by the statement on November 21 by the People’s Bank of China which warned that it is taking action against entities that are involved in trading cryptocurrencies such as Bitcoin (BTC).

The move was also in response to a rise in the trading activity after the public endorsement of blockchain technology by the country. While pledging to keep its promise to outlaw trading, the PBoC vowed to “dispose of” any such activity which it discovered under its jurisdiction.

“Once it is discovered, it will be disposed of immediately, and it will be prevented from happening early,” a translation of the statement reads.

The new BTC Drop has tanked the cryptocurrency further and is now rattling the markets, sliding almost 10% and bouncing off the support around $7,000.

Meanwhile, the city of Shenzhen revealed an investigation into the similar cryptocurrency trading operations which was again spearheaded by the PBoC. The commentators included Binance CEO Changpeng Zhao, all arguing that the focus of the probe genuinely was bad actors – and that it would ultimately be beneficial.

The latest statement which comes with the new BTC drop to $7,100 proves that China is an influential figure that is setting the price of Bitcoin (BTC) up and down. The PBoC underscored the official government position in favor of blockchain but against cryptocurrency more clearly than ever before.

“Investors should be careful not to mix blockchain technology with virtual currency,” the statement shows as it also paraphrases similar warnings that appeared in government media publication People’s Daily late last month.

On another note, it seems that the new BTC drop to $7,100 triggered even more drops in the coming altcoin news. Ethereum (ETH) nosedived by 13% to a price of $149, Bitcoin Cash (BCH) did the same and is now at $2017 while Litecoin (LTC) has registered a 12% drop to $46.53 now. This is perhaps the biggest drop in the past month, setting a new 4-week low for many coins on the market.