- The main cryptocurrencies experienced a decline in their prices, and the value of the global cryptocurrency market fell almost 2%, reaching $1.12 trillion.
- This drop is due to the decrease in crypto investments and possible regulations in the United States.
- Bitcoin fell to $26,500 and the value of the Ether token was also down 1.9% at $1,790.
The largest cryptocurrencies began the first week of June with lower prices, and the global market value of the sector fell almost 2 percent to US$ 1.12 trillion.
The reasons, a general drop in investments in the crypto sector and an advance of the threat of new regulations in the United States.
After briefly exceeding $28,000 last week, bitcoin began this Monday, June 5, with a sharp drop, touching $26,500, almost 2 percent less in 24 hours.
In parallel, according to information from CoinMarketCap, the value of the Ether token, the main one of the ethereum network, fell 1.9 percent to $1,790.
This drop comes after total investment in the global cryptocurrency market reached its lowest point in more than 30 months in May, according to the latest data from The Block.
May trade volume, which allows you to see spot market volume across all exchanges, totaled $439.5bn, up from $604.8bn the previous month.
What happens in the cryptocurrency market
That volume was the lowest since October 2020, when the market was recovering from the pandemic.
This week is key for the sector as the S&P-Global and Institute of Supply Management Services Purchasing Managers’ indices are released for the past month.
In parallel, the factory orders for April in the United States will be made public. Other data on the economic calendar are the consumer credit outlook for April, which is expected on Wednesday, and the latest jobless claims report, due on Thursday.
Republican lawmakers of the United States House of Representatives seek to establish absolutely clear functions for all regulators of the crypto sector, according to a bill presented on June 2.
This law, if passed, would prevent the US Securities and Exchange Commission from treating stablecoins as “payment currencies” and so-called “digital commodities” as exchange securities.
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