On Wednesday, bitcoin climbed back above the $34,000 mark to trade as high as $34,367 in early morning trade, according to Coin Metrics data.
Smaller rivals also surged, with ether rising 6% to $2,014 and XRP up 9% at a price of 64 cents.
In China, authorities have been clamping down on bitcoin mining, the power-intensive process for validating transactions and generating new bitcoins.
Critics of the cryptocurrency have long been wary about its impact on the environment.
It comes after the New York attorney general’s office reached a settlement with Tether and Bitfinex, an affiliated digital currency exchange.