Sound familiar? In September 2017, China’s Bitcoin “ban” hit a record high of US$20,000 in 3 months

Bitcoin (Bitcoin) It fell further on September 24 to challenge the USD 40,000 support level because analysts emphasized false alarms from China.

BTC/USD 1-hour candlestick chart (Bitstamp). Source: TradingView

The classic bull market formula?

Data from Cointelegraph Markets Pro with Transaction view Bitstamp showed a multi-day low of 40,690 US dollars for BTC/USD, which was down 8% on the same day.

Hodlers has Frustrated but not worried The news that China has allegedly raised the “ban” on cryptocurrencies is actually just a reiteration of the People’s Bank of China Existing restrictions In place for four years.

These events sounded a wake-up call for them-in September 2017, the initial “ban” announcement caused Bitcoin to plummet, but it returned to its original level within a few weeks and reached a value of $20,000 in less than three months. A new high in history.

Long-term market participants have not forgotten this fact, including those whose Chinese news on social media initially resurfaced and caused panic.

At the same time, for traders and analysts Rekt Capital, the sell-off just highlights the lack of experience of market novices.

“BTC investors who have been in the market for some time have heard of many different iterations of Chinese FUD. But new investors without such experience are the ones most affected,” he said. Tweet That day.

“Their panic selling has contributed to the recent decline.”

38,000 USD support is unaffected

Nonetheless, this move eliminated days of BTC price increases, including the rise caused by Twitter emission Lightning network tip.

related: The goal of the short position is to keep the Bitcoin price below 46,000 USD, which will lead to the expiration of the 3B USD BTC option on Friday

However, from the perspective of the composition of the spot market, it is clear that the selling has little effect on the support, which is still below $40,000.

BTC/USD buy/sell level (Binance) as of September 24. Source: Material Indicators

Just like the previous Cointelegraph Report, The “sand line” level for bulls has been set at the mid-range of $30,000.

Popular minimum Monthly closing price At the same time, it was still USD 43,000 in September.