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Bitcoin dropped 0.4 percent to $33,708 after rising 2.7 percent to $34,340 due to reports that former bitcoin and ethereum miners in China have been dumping graphics processing units, which digitally renders cryptos in computers.
The cryptocurrency struggled to surpass $36,000 in the last few days but stayed above $32,000.
Other crypto tokens ethereum and dogecoin also dwindled back into the red.
Ethereum fell 0.7 percent to $2,112 after edging 2.2 percent higher, and dogecoin fell 0.2 percent to $0.21 after gaining 2.6 percent.
China extended the clampdown on the bitcoin mining industry to its biggest bitcoin-producing provinces, including the southwest province of Sichuan, in June.
The People's Bank of China (PBOC) had asked several banks and payment firms to take a tougher stance over cryptocurrency trading.
The Agricultural Bank of China would also conduct due diligence on clients to root out illegal crypto activities.
Meanwhile, China's Postal Savings Bank also announced it would not facilitate any cryptocurrency transactions.
