ICO is for the altcoins and not for bitcoins. Its the new coins for which the dev set a price and take money from people in form of bitcoins and in return give the new altcoin. So basically this has nothing directly related to bitcoins.
Well it think bitcoin is the first digital currency so this thing makes bitcoin the first priority of people,. As much bitcoin is famous now no other altcoins or digital coin is, bitcoin is being acceptable as a payment is several places so people so as much as they can make investment, china is not making any difference to bitcoin value and price but after the legalization of bitcoin in Japan and south Korea bitcoin has become more valuable and price of bitcoin raised very high after this news.