After all they realize they were doing something wrong. Bitcoin has gained so much value and importance that countries will regret after they put a ban on it. Regulating bitcoin is somehow a solution to keep using bitcoin while preventing any misuse or illegal use of it.
May be china will soon announce and launch their own cryptocurrency which will be under control of chinese government.
I think china government is not fair with other currencies at all because they are banning other crypto ico due to they wanted their currencies to rise and to compete with bitcoin. With that news about their new crypto currency I guess that's another opportunity to those who trade bitcoins, because it's open to the crypto market if their coins will be active at trading sites, and I am sure pumps and dumps will happen smoothly.