Cryptocurrency Market News

Bisola Alli

June 5, 2024
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This week, the cryptocurrency market witnessed significant movements, showcasing the ongoing evolution of digital assets.

There’s much to explore, from notable price surges in leading cryptocurrencies like Bitcoin and Ethereum to regulatory advancements and industry innovations.

Stay tuned. ZendWallet presents the latest cryptocurrency market insights from May 31 to June 5, 2024. As your best crypto exchange, we’re committed to timely updates to keep you informed.

Therefore, reading our latest cryptocurrency market news gives the most relevant updates on digital assets worldwide.

Bitcoin and Ethereum Prices Surge:

This week, the cryptocurrency market experienced a remarkable surge, highlighted by Bitcoin briefly surpassing the $70,000 mark and Ethereum’s upward trend towards $3,850. Bitcoin surged to $69,650 early Monday, reflecting a 2.3% increase over the past 24 hours.

This surge comes after Bitcoin peaked at $70,399 on May 20 and a new all-time high of $73,798 on March 14, surpassing its previous record of $68,990 in November 2021.

Since its dip to $49,000 on January 11, coinciding with the S.E.C.’s approval of several Bitcoin ETF applications, Bitcoin has exhibited significant recovery, showing a 157% increase in 2023 and approximately 66% growth this year.

Ethereum, the second-largest cryptocurrency, traded near $3,840, representing a climb of more than 1% over the last 24 hours. It is gradually moving towards its 52-week high of $4,092, reached on March 12.

Ethereum crossed the $4,000 mark in 26 months on March 8 and surged nearly 68% in 2024, although it remains below its November 2021 peak above $4,800.

BlackRock’s iShares Bitcoin Trust Becomes Largest Bitcoin ETF:

BlackRock’s iShares Bitcoin Trust has made a significant mark in the cryptocurrency investment landscape, emerging as the most critical global fund dedicated to Bitcoin. Since its anticipated launch in the U.S. earlier this year, the trust has swiftly amassed nearly $20 billion in assets.

This achievement underscores Bitcoin’s journey toward mainstream acceptance and reflects the growing accessibility of digital assets to investors worldwide.

Of particular note is the trust surpassing the Grayscale Bitcoin Trust (GBTC), which previously held the title for the largest Bitcoin-focused fund with $19.65 billion in assets.

BlackRock’s iShares Bitcoin Trust now stands at the forefront of the market, signaling a shift in investor preference towards more cost-effective investment options in the crypto space. This trend aligns with the increasing demand for efficient and low-cost exposure to Bitcoin among institutional and retail investors alike.

Additionally, Fidelity Investments has emerged as another significant player in this expanding field, managing a substantial $11.1 billion fund dedicated to Bitcoin.

As the cryptocurrency investment landscape continues to evolve, these developments highlight the growing importance of regulated investment products in facilitating broader adoption and participation in the digital asset market.

President Biden Vetoes Crypto Bill:

President Biden’s recent veto of a bill aimed at overturning the SEC’s special regulations for custodians of crypto assets has sparked widespread discussion within the cryptocurrency community. This move, which has drawn attention from industry experts and enthusiasts alike, sheds light on the ongoing debates surrounding regulatory frameworks for digital assets.

The bill’s rejection reminds us of the complexities inherent in crypto regulation and the importance of adopting a balanced approach that addresses investor protection and market stability concerns. President Biden’s veto has underscored the need to thoroughly consider these factors in shaping regulatory policies governing the crypto space.

However, Biden’s decision was not without criticism. Some crypto community members have voiced their concerns, suggesting his stance on crypto regulation could affect his electoral prospects.

This incident highlights the increasing political significance of crypto-related issues, with debates over regulation shaping discussions within the industry and broader political spheres.

As the intersection of cryptocurrency interests and political dynamics becomes more pronounced, these issues will likely play a significant role in upcoming elections, including the 2024 presidential and critical Senate races.

It underscores the evolving landscape of digital assets and the need for policymakers to navigate these challenges with careful consideration of the broader implications for investors and market participants.

SEC Approves Ethereum ETFs:

On May 23, 2024, the SEC approved the first investment products linked to Ether’s price for trading on three exchanges, echoing earlier Bitcoin ETF approvals this year. Ether, Ethereum’s cryptocurrency, is the second most held after Bitcoin.

These ETFs allow investors to trade Ether without directly owning it. Grayscale Ethereum Trust and Bitwise Ethereum ETF are approved for NYSE Arca, and iShares Ethereum Trust is authorized for Nasdaq. Also, VanEck Ethereum Trust, ARK 21Shares Ethereum ETF, Invesco Galaxy Ethereum ETF, Fidelity Ethereum Fund, and Franklin Ethereum ETF are approved for CBOE BZX.

While awaiting trading, the SEC approved 19b-4 forms for eight Ether ETF applications, potentially paving the way for spot Ethereum ETFs to launch later this year.

However, these ETFs still need approval of their S-1 registration statements before debut. The SEC’s decision signifies expanding regulated investment options for Ethereum, indicating growing acceptance and institutional interest in Ethereum as an investment asset.

This signals a significant stride towards broader Ethereum adoption and investment, reinforcing its position alongside Bitcoin within the cryptocurrency market.

Japanese Crypto Exchange Hacked for Over $300 Million:

The cybersecurity vulnerabilities of the crypto industry were once again highlighted as Japanese crypto exchange DMM Bitcoin fell victim to a hack, resulting in the theft of 4,502.9 Bitcoin, valued at approximately $308 million.

The incident underscores the persistent risks of digital asset storage and exchange platforms. It serves as a reminder for investors and industry participants to prioritize robust security measures to safeguard their assets against cyber threats.

Keith Gill Sparks Meme Coin Rally:

Keith Gill, known for his role in the 2021 GameStop short squeeze, triggered a rally in meme coins following his disclosure of significant options positions in GameStop. Gill’s influence underscored the convergence of traditional and meme-driven investment trends in the crypto market, driving momentum in cat-themed meme tokens and the GME meme coin.

This phenomenon highlights the power of social media influencers in shaping market sentiment and driving speculative activity in niche segments of the crypto market.

Bitcoin’s Fourth Halving Event:

Bitcoin completed its fourth halving event on April 19, reducing rewards for miners. Historically, Bitcoin’s price has surged in the months following halving events.

However, analysts remain divided on the potential impact of this year’s halving on Bitcoin’s price, considering current market conditions and regulatory uncertainties.

The event is a crucial milestone in Bitcoin’s supply schedule and impacts the network’s security and economic dynamics.

Sam Bankman-Fried Sentenced:

In a significant development, Sam Bankman-Fried received a 25-year prison sentence on March 28 for his involvement in the 2022 collapse of the crypto exchange FTX. This sentencing marks a significant moment in the ongoing regulation and oversight of cryptocurrency exchanges and their leaders.

It underscores the importance of accountability and transparency in the crypto industry and highlights the potential legal consequences for individuals involved in fraudulent or negligent activities within the space.

Cryptocurrency Price Action:

Bitcoin rose to $69,650, marking a 2.3% increase over the last 24 hours, while Ethereum traded near $3,840, up more than 1% during the same period.

Both assets demonstrated strong performance, with Bitcoin surging approximately 66% and Ethereum rising nearly 68% in 2024. These price movements reflect investor optimism and confidence in the long-term potential of cryptocurrencies despite short-term volatility and regulatory challenges.

What To Expect in the Crypto Market:

The speculative surge in meme coins driven by Keith Gill’s recent bet on GameStop underscores the enduring influence of meme culture in the crypto market. Despite Bitcoin’s sustained bull run, the anticipated “altseason” has yet to materialize, indicating robust speculation about meme tokens.

Investors should remain cautious and vigilant amid market fluctuations and regulatory developments, focusing on fundamental factors and risk management strategies to navigate the dynamic landscape effectively.

This detailed report comprehensively covers the latest developments in the cryptocurrency market, including price movements, regulatory updates, cybersecurity incidents, key events, and market sentiment. Stay informed and prepared to adapt to

Best Bitcoin and Cryptocurrency ETFs to Watch

Investors looking to diversify their portfolios with cryptocurrency ETFs should consider the market’s top performers and new entrants. With the SEC’s recent approvals, ETFs are becoming increasingly popular for gaining exposure to Bitcoin and Ethereum without directly holding the assets.

Conclusion

At ZendWallet, we are committed to informing you about the latest developments in the cryptocurrency market.

With Bitcoin and Ethereum showing strong growth and regulatory bodies like the SEC moving towards greater acceptance of crypto assets through ETF approvals, the future of digital currencies looks promising.