Key points of the news:
- Bitcoin regains value after surpassing $70,000, rebounding after a brief dip below $62,000 last week.
- Coinbase faces legal challenges with the rejection of its attempt to dismiss the SEC case, although it receives a favorable ruling on its wallet service.
- Bitcoin’s dominance in the cryptocurrency market is declining, suggesting a possible start of an “altcoin season.”
Bitcoin (BTC), the leading cryptocurrency, has once again captured investors attention by surpassing the $70,000 mark after a brief setback that took it below $ 62,000 last week.
This rally is attributed to positive flows into Bitcoin exchange-traded funds (ETFs), which returned after several consecutive days of outflows the previous week.
Meanwhile, cryptocurrency exchange Coinbase is facing significant legal challenges.
A court rejected his attempt to dismiss the case brought by the Securities and Exchange Commission (SEC), which alleges that Coinbase operated as an unregistered exchange and made sales of securities through its “staking” program. as-a-service.”
Despite this, the court ruled in favor of Coinbase regarding its wallet service, determining that it does not violate US securities laws.
Bitcoin’s dominance in the cryptocurrency market has been declining since March, falling from a high of around 55% according to the latest report from Decentral Park Capital.
In parallel, the market capitalization of altcoins has been increasing during the same period.
This phenomenon suggests the possibility of the beginning of what is known as “altcoin season”
Altcoin season is a time where investors look for opportunities beyond Bitcoin in the cryptocurrency market.
In addition, a return of leverage to the market is observed, especially in riskier segments such as meme currencies.
Recent news, such as the launch of EtherFi and Blackrock’s tokenized money market fund on Ethereum, have contributed to the resurgence of the RWA sector.
On the macroeconomic front, Federal Reserve Chairman Powell indicated that the Fed is in no rush to reduce interest rates, citing strong employment data and the need to monitor inflation.
Despite lower expectations of rate cuts, the stock market, particularly led by technology stocks, continues its rally, according to Goldman Sachs, suggesting it is not yet in bubble territory.
The current crypto landscape is marked by Bitcoin volatility, Coinbase legal challenges, the growth of altcoins, and a macroeconomic environment influencing market sentiment.
Investors should keep an eye on these developments as they navigate the exciting but volatile world of cryptocurrencies.
