While some in the institutional blockchain community are focusing on the fact that Chinese miners control the majority of the bitcoin network, for traders it’s more important to remember that the absolute majority of the trading volumes also comes from China.
As the people of China go on a week long holiday for Chinese New Year (Spring Festival), a time of celebration and family gathering, trading will not be at the top of their priorities. Therefore, we should expect to see a drop in trading volumes, leading to less liquidity, something traders should keep in mind.
Additionally, if you are trading on a China based exchange, you should be prepared for the holiday schedule. OKCoin sent this message to its clients: “the Spring Festival is the most traditional and ceremonious one, and OKCoin hopes you have the opportunity to spend time with family and we wish that for our staff as well. Therefore, during the Spring Festival (Feb. 7th,2016 — Feb 13th, 2016), customer service availability has been adjusted.”
The specific changes for OKCoin International are: limiting chat and email support from 08:00-24:00 (UTC+8) China time, additionally USD deposits and withdraws will not be processed until February 15, 2016.
Have a profitable Year of the Monkey!