It is likely that after the 19th Party Conference of China, which will be held on October 18, the changed party leadership will change the approach to the crackpit and it will again be allowed in this country. There is also information that the Chinese government simply can not really prohibit the circulation of the crypto currency, because it is not in a position to control it.
It is not forbidden exactly in China. Only the exchanges will require more regulations, but still more than 1 month until they have to close if they don't meet the new requirements.
But I think they could control Bitcoin if they want because they already control internet and are a lightweight version of North Korea, but they would have to stop the production of ASICs miners and maybe hurt their economy in the future, so I doubt they would.