They'll ban gold before they ban bitcoin. Bitcoin is still deep under the radar in India, only a few people in the loop know about it.
I totally agree with your words that bitcoins is still deep under the radar in India.No body can even think about bitcoin as there are lot other major issues.No body talks about bitcoins and is never trending in india,so i dont think any thing will happen about bitcoin in India any time soon.
Even I doubt that more than 20% Indians know bitcoin and the active users must be lesser than the amount of people who "only" know bitcoin. Gold was very known in India by almost everyone while bitcoin is a small thing for them, that's why I'm sure that government will not really be giving attention onto bitcoin until at least bitcoin becoming as popular as gold