Bitcoin
Falls to $62K on Regulatory Jitters, Fee Fears By Investing.com
Investing.com – The price of Bitcoin fell on Wednesday, further reversing the rally seen over the weekend, as lingering concerns about increased regulatory scrutiny against the cryptocurrency industry kept traders quite cautious about buying.
Broader cryptocurrency prices have also been pressured by uncertainty over US interest rates, after several Federal Reserve officials signaled this week that the central bank was more likely to keep rates unchanged into 2024. They have recovered from recent losses after your comments.
fell 1.5% in the last 24 hours to $62,523.2 at 00:44 ET (04:44 GMT). The world’s largest cryptocurrency has remained comfortably within a trading range seen for most of the past two months as the token’s momentum slowed after reaching a record high in March.
Capital flows data released earlier this week also showed that crypto investment products, especially Bitcoin, saw a third consecutive week of sharp outflows as enthusiasm over exchange-traded funds launched earlier this year grew. was exhausted.
Regulatory jitters keep crypto sentiment weak
A report released earlier this week showed that more than 90% of transactions in stablecoins – which are an important aspect of crypto trading – were inorganic and not from real users, raising questions about how much retail demand there actually was for crypto.
The report also raised concerns about further regulatory action against stablecoin operators, specifically, which is the biggest of all.
In cases of actual regulatory action, trading app Robinhood Markets Inc (NASDAQ:) said it was facing potential regulatory action from the Securities and Exchange Commission over the nature of crypto tokens traded on its platforms. The SEC has long argued that crypto tokens are securities and is currently engaged in legal battles with XRP issuer and crypto exchange Coinbase (NASDAQ:) over the issue.
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The SEC is also investigating the worldwide number. 2 crypto Ethereum for potentially being a security, and this week postponed the decision to approve spot-traded Ethereum ETFs for US markets until July.
But the regulator is expected to reject the ETF applications.
Crypto Price Today: Altcoins Drop Amid Rate Uncertainty
Broader cryptocurrency prices retreated, also under pressure from the dollar’s resurgence, as Federal Reserve officials said the central bank would likely leave interest rates unchanged this year.
fell 1.5% to $3,018.85, while falling 5% and 3% respectively.
Longer high rates in the US bode poorly for crypto markets, given that the sector generally benefits from a low-rate and high-liquidity environment.