Bitcoin (BTC) rebounds strongly, a day after a sell-off caused by the US Securities and Exchange Commission (SEC) suing Binance and Coinbase.
BTC Price Chart – 1 hour | Source: TradingView
The S&P 500 index rose slightly on Tuesday (June 6) to its highest close since early 2023, as Wall Street embraced the recent rally that took the index to a nine-month high.
Closing the session, the S&P 500 index gained 0.24%, hovering near a nine-month high, to 4,283.85 points. This is also the index's highest closing level since August 2022. The Nasdaq Composite added 0.36% to 13,276.42 points, also closing the session at its highest level in 2023. The Dow Jones rose 10.42 points (or 0.03%) to 33,573.28 points, due to Merck and UnitedHealth stocks fell more than 2%, putting pressure on the index.
Coinbase shares fell more than 12% after the United States Securities and Exchange Commission (SEC) sued the company. The SEC accused Coinbase of operating as an unregistered broker and exchange.
Apple shares lost 0.2 percent, a day after the tech giant unveiled its much-anticipated virtual reality headset and new software at its annual Worldwide Developers Conference. In the previous session, this stock climbed to ATH before the announcement of the new product.
Jeff Kilburg, CEO of KKM Financial, said that the market can avoid major fluctuations as investors get ready for the policy meeting of the US Federal Reserve (Fed) next week. However, Mr. Kilburg said it is worth noting that the market has maintained above the range seen in recent months.
Meanwhile, gold prices traded in a narrow range on Tuesday (June 6), as investors waited for more signals to assess the US Federal Reserve's (Fed) interest rate roadmap before making the decision. policy meeting next week.
At the end of the session, the spot gold contract edged up 0.1% to $1,964.27 an ounce. Gold futures added 0.4 percent to $1,981.5 an ounce.
Oil prices fell on Tuesday (June 6), on concerns that sluggish global economic growth could dampen energy demand.
Ending the session, the Brent oil contract fell 42 cents, or 0.6%, to $76.29 a barrel. The WTI oil contract lost 41 cents, or 0.6%, to $71.74 a barrel.
The largest cryptocurrency by market capitalization recently spiked above $27,000, establishing a local top at $27,391, up more than 6% in 24 hours. On Monday, BTC dropped to around $25,350 as investors conducted a sell-off when the SEC said Binance violated securities laws.
Notably, the SEC avoided mentioning BTC and ETH in its filings against Binance and Coinbase, a sign of reassuring investors that U.S. regulators treat both tokens as commodities.
In a market report on Tuesday, Vetle Lunde, senior analyst at research firm K33 Research, suggested that BTC 's initial steep drop following the Binance lawsuit was an overreaction.
“Bitcoin is classified as a commodity. Americans can buy BTC through a variety of exchanges, swaps, payment apps, etc., and the market will not drop more than 5% for this event.”
In another market report, senior analyst Edward Moya at exchange Oanda, wrote that the SEC crackdown on Altcoin could even benefit Bitcoin.
“Bitcoin is becoming an interesting asset as many crypto investors may decide to abandon Altcoin and move to BTC. With the SEC calling Solana, Polygon, Cardano, and BNB securities, some traders may decide to abandon positions on major exchanges, move assets to cold wallets, or reopen new positions with Bitcoin.
Altcoin markets bounced sharply as BTC rebounded back above the $27,000 region.
Leading the way were Stacks (STX) and Pepe (PEPE) when both projects recorded impressive profits of over 10%. However, on a weekly timeframe, the PEPE memecoin is still showing a loss of more than 8%.
Other projects like Lido DAO (LDO), MX TOKEN (MX), Render Token (RNDR), Optimism (OP), ApeCoin (Ape), Casper (CSPR), dYdX (DYDX), Bitcoin Cash (BCH)… on from 6-8%.
Source: Coinmarketcap
Following the Bitcoin rally, Ethereum (ETH) is also up more than 4% from the low of $1,778 on June 5 to around $1,880 at the present time and is trying to reclaim the $1,900 area.
ETH price chart – 1 hour | Source: TradingView
The column “Coin Price today” will be updated at 9:00 daily with general market news, readers are welcome to follow.
