It might go down even further but I wouldn't worry about it. All these nonsense will go away eventually, and things will go back to normal in China. Or maybe people will eventually realize that they don't really need China to have BTC and they will no longer be able to manipulate the market with rumors.
I wouldn't sell, because the switch can occur at any time now. People are selling all they can in China but they will stop eventually and everyone else will just enjoy the opportunity to buy again at a cheap price.