China's regulation caused a huge shock! Bitcoin went on a roller coaster ride and rose back to $800 in half a day

Summary: Bitcoin trading price once rose above $3,800, rebounding more than $800 from the intraday low. On Friday, news broke that Huobi and OKCoin would be shut down in September, and Bitcoin once fell below $3,000. Later, Caixin reported that the two platforms involved large transaction scales and a large number of people, and the regulator decided to give a one-month buffer period.

This article was first published at 18:12 Beijing time on the 15th, and updated at 22:14 on the 15th and 16th.

Beijing and Shanghai launched heavy blows, and the price of Bitcoin, the king of digital currencies, fluctuated greatly on Friday, like riding a roller coaster.

Data from Bitcoin exchange Bitstamp showed that at around 5:45 am Beijing time on September 16, the trading price of Bitcoin rose above $3,800, rebounding more than $800 from the intraday low of $2,972, up more than 27%, and up about 18% from the opening, recovering the losses since Thursday.

At around 10:30 am Beijing time on September 15, a document stating that "Beijing regulators have ordered the closure of Bitcoin exchanges in the jurisdiction by September" circulated on Weibo, and Bitcoin began to fall.

At 5 pm, the Securities Times confirmed the authenticity of the document and said that several major domestic Bitcoin exchanges were interviewed by Beijing regulators. Some media interpreted it as "all Bitcoin platforms will be shut down within 5 days", and Bitcoin continued to plummet, falling below $3,000 at one point.

At 8 pm, Caixin reported that the previous media report that all Bitcoin platforms would only be closed for 5 days was wrong, and the regulatory authorities required that all exchanges should formulate proper liquidation plans to ensure that they would be shut down before the end of September. Huobi and OKCoin platforms involve large transaction scales and a large number of people, and have not previously conducted ICOs or launched related tokens. Therefore, the relevant departments decided to give Huobi and OKCoin a one-month buffer period, which means that they can be shut down by the end of October, but the specific plan is still under study .

Subsequently, the price of Bitcoin rose against the trend, rebounding to US$3,346 at one point, even exceeding the point before the Securities Times "confirmed the authenticity of the document."

At 9:30 pm, Huobi and OKCoin announced that they had stopped registering new users on the platform and would notify all users of the upcoming trading suspension by September 30; all digital asset-to-RMB trading would be gradually suspended by October 31. After that, the price of Bitcoin on the two major trading platforms fell sharply again, from 19,100 yuan to 17,200 yuan.

However, after 9:45, the price of Bitcoin rebounded again. As of the time of writing, the price of Bitcoin on Huobi has risen to more than 20,000 yuan. Before the midday trading of US stocks on Friday, the exchange rate of Bitcoin to RMB stood at 22,180 yuan, a rebound of 32% from the daily low.

China News Service quoted an insider close to the regulator on Friday as saying, "According to incomplete statistics, the daily trading volume of virtual currencies in China is now more than 20 billion, which is too large. If the scale cannot be reduced, there will be more stringent measures."