What kind of power will they have without the surveillance state and their propaganda machine?

The State would collapse and the tyranny would end.

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The same power they had before that all existed. You think their power comes from those things only?

I wish.

They managed just fine without this power before, but I admit the adjustment period would be hard for them.

While pro-Western Third World governments like India and Ethiopia have done full internet blackouts for months on whole regions they don't like, I expect Western governments to be more dextrous. They'll merely lock customers into a walled garden with cat videos and Amazon. Maybe porno, from a government approved provider, with the right KYC and hefty payment.

That’s current China and they can’t stop bitcoin use though

Have you ever tried to help someone reach Tor from inside The Great Firewall of China? Nightmare-mode hard.

If the CCP decides to actually block Bitcoin, they will and it will take effect in seconds.

Bitcoin is far more vulnerable than Tor and I2P.

Even with a very leaky ban, miners will start forking competing blocks and transactions will become unreliable.