Sometimes they can't control their emotions, just like China's policies are introduced one after another. Most Chinese crypto enthusiasts will choose to sell their tokens. News in their own country will make them more psychologically affected and pressured. Chinese miners also choose to move out of China, so they need to be psychologically prepared for unpredictable situations in the market.
That's the reason why investing in bitcoin is too risky, we never know what would happen in the future, therefore we should always have an alternative plan the words of advise from the experts is don't put all your eggs in one basket, so this means you have crypto and you have investment outside crypto as well.
You'll never panic if you understand what you are doing, and most especially you risk what you can afford to lose only.