Bitcoin price falls below $30k, but China ban can’t stop the inevitable comeback – Saifedean Ammous

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Bitcoin took a hit on Tuesday, taking losses as high as $ 29,300, a level not seen since January before climbing again to end the day at $ 32,000.

The main concern that terrified Bitcoin investors was the news that China is tightening its influence on crypto transactions and mining, shutting down 90% of the country’s mining capacity.

In addition, the People’s Bank of China ordered the suspension of over-the-counter (OTC) transactions.

Saifedean Ammous, author of “The Bitcoin Standard”, said David Lin, moderator of Kitco News, that Bitcoin cannot technically be “banished” and that historically the price has always come back, even after an 80% correction.

Ammous is a freelance educator at Saifedean.com teaching economics and bitcoin courses, former assistant professor of economics at Lebanese American University, and author of his upcoming book, The Fiat Standard.

“Bitcoin lives from adversity,” he said. “Whatever they end up trying – and that’s the difference between Bitcoin and gold [and traditional financial assets] – Bitcoin is released independently of political and banking systems. ”

Therefore, you can’t really “ban” Bitcoin, you can only “ban” yourself from the network, he said.

“You can’t stop the network. You can either try to impose conditions on the users of the network and if the users can accept those conditions they can still use it and deal with your network, but if you impose conditions that are unacceptable to users or that people cannot accept … then you’ve just kicked all users off your network, ”he said. “You can’t really ban bitcoin, you can ban yourself from bitcoin, but bitcoin continues to work and I think even if it is going to be a 50%, 60%, 70%, 80% crash, ultimately the ability to bounce back is what will win the day for Bitcoin. ”

Watch the video above to see how Ammous disproves some common concerns about Bitcoin as a currency or store of value. Follow David Lin on Twitter @davidlin_TV (https://twitter.com/davidlin_TV).

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure the accuracy of the information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is for informational purposes only. It is not an invitation to exchange goods, securities or other financial instruments. Kitco Metals Inc. and the author of this article assume no responsibility for any loss and / or damage that might arise from the use of this publication.