Here's why China's latest Cryptocurrency ban rumor is a great investment opportunity!

Since China's recent ICO ban happened just a few days ago, it is easy to remember the FUD (Fear Uncertainty Doubt) it caused in the cryptocurrency market. Everybody was fearing the implications of that measure which not only affected single cryptocurrencies such as Neo but also the whole cryptocurrency market capitalization by lowering it temporarily approximately by 20%.

One of the most important reasons for this hefty market reaction was the concomitant expectation that this ban would be permanent. After the first overwhelming wave of selling some traders begun to ask if this ban may could be just of temporary nature. Furthermore, the question was raised if there could be some positive implications of this new regulatory constraint and what these could be. The widespread phenomenon of ICO scams certainly isn't a good proposition for this emerging market to grow and reach one day the state of a mature market. The ban was aimed to stop this kind of fraud, also it turned out, that the new Chinese regulation on ICO was just temporary and never intended to crush down the hole cryptocurrency industry, but to remove the black sheep and to install new regulations to prevent investors to lose their capital due to fraud. Hence, the cryptocurrency market was able to regain most of its losses within few days, reaching a very healthy market capitalization again.

Today on Friday 09/08/2017 the market dropped sharply after the local outlet Caixin reported that China is planning to shut down local Bitcoin exchanges “according to google translator”. If there is something we should have learned from bad news for cryptocurrencies released from China, it is that often these bad news actually could turn out to be, unlike the market sentiment right now, good news for the industry.

What makes me think this way are the following reasons:

— until now this moment the news are not confirmed by official sources, so first we have to see if it is even true
— all major Chinese exchanges are still operating normally and are not confirming this rumor yet
— and last but most important, what sense would it make not to ban ICO's permanently but just temporarily when a few days later all the cryptocurrency exchanges were forbidden in China?

This makes absolutely no sense to me, and I think it is quite obvious, that this market drop represents an excellent buying oportunity! When there are signs of a bottom building and at strong support levels this could be a very interesting opportunity to invest not just in Bitcoin but also in other Altcoins which are also affected by this sudden price drop, which could turn very soon in a sharp increase in price, I think it will happen, when this bad news turn out to be good news!

This article is not intended as financial advice, but is just my personal opinion about the cryptocurrency market.