I think its very simple. They simply do not want a currency they cannot control. They want to be able to ban ppl from using, they want taxes, they want to be able to monitor every citizen. This cannot be done with Crypto. Therefor China does not want any of it.
But now OPs word has been become true because they did not going to stop license of the exchange sites from China. Hence all would be come to normal. If you look at the price also you can understand that. Now bitcoin value boon to 3580$. Hold more btc as well as alts.