I mean, as soon as PBOC started their investigation Chinese Bitcoin Exchanges turned off their fake volume engine
We are not just talking about fake volume, fake volume == fake price == bad reputation == another Gox.
We all followed what Chinese Exchanges was doing because of their volume, they were No.1, BTC/USD volume could not be even seen on the pie chart compared to BTC/CNY volume.
Did anyone asked Bobby Lee yesterday during his AMA on Reddit about this volume issue?
I mean there is no logic that halted withdrawals could influence volume at this magnitude, just look at the photo below.
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The Chinese volumes were an effect of: first no fees - this has changed, second bots used for inflating the volume - this should also be over as this was required by the authorities, third possibly by completely fake numbers generated by the exchanges - this should also be over as required by the authorities. This is well established now and it is a good explanation - that's why nobody asked Bobby Lee about it. No withdrawals can add to diminishing the volume even further - but it is not the primary reason - you are right there.