I don't think China was the cause of the 'recent' crash. Bitcoin has definitely been in a bad downtrend for weeks now. I'm sure these 'news' about China didn't help but that's not why Bitcoin has been doing bad all these weeks.
I dont think, most likely China will now, on the contrary, positively influence the development of the cryptocurrency industry, today I read that China is starting to introduce crypto into the legal framework. https://neironix.io/news/china_searches_for_cryptography_law_breakers