I think OP overestimates the policies of the Chinese government. China's influence on the encryption market is getting smaller and smaller. This time, there are even no waves. These are just the information boasted by the media, which has no practical effect. If the encryption market is so easily affected, you can't see the development of bitcoin in recent ten years.
The Chinese government forgot one simple truth, the more they use a particular move the more ineffective it becomes, and since I have been part of the market I do not remember a single year in which China did not banned bitcoin or took strong steps against it.
Basically at this point anyone that has been here for a few years knew this was coming so we are not surprised or affected by it, and I think that is precisely what we are seeing with the price.