I think it reflects on the general public's faith in digital currency in a crisis situation. When everything's losing value maybe they think well if global economy collapses who is going to honor my bitcoin, how am I going to do anything with this?
Before when it was just china it was a convenient way for mainlanders to park there money in a more stable asset (at the time), but now they're getting everyone back to work and perhaps that money is going back into chinese economy.
Mix this and the general panic hive mind and here we are