Bitcoin price avoids 3-month lows as crypto dive liquidates $390M

Bitcoin (BTC) suffered a three-month low on June 10, particularly due to the impact of U.S. regulatory pressure on altcoins.

Altcoin bloodbath as exchanges reshape landscape

Data from Cointelegraph Markets Pro and TradingView revealed that the BTC/USD hit $25,483 on the day, a decrease of more than $1,200 from the prior day’s peak.

Despite displaying signs of fragility, Bitcoin was spared the consequences of major altcoins, which had a strong reaction to the delisting that followed the legal action taken by the U.S. against major exchanges.

Robinhood announced that they will no longer provide support for certain cryptocurrencies named in the lawsuit filed by the U.S. Securities and Exchange Commission (SEC) against Binance and Coinbase.

Both Cardano (ADA) and Solana (SOL) have lost nearly 25% of their value in the last 24 hours, as of this writing.

“Robinhood periodically evaluates the cryptocurrencies it provides,” the company declared on its website.

“Given the regulatory steps taken this week, it is unsurprising that some delistings resulted in a market selloff,” commented Kris Marszalek, CEO of Crypto.com.

Crypto.com has announced that its U.S. institutional trading service will be suspended as of June 21.

BTC price 200-week trend line support fails

The repercussions of the events had a significant effect on the entire cryptocurrency market capitalization, with Michaël van de Poppe, founder and CEO of trading firm Eight, warning that further deterioration could be in store.

Bitcoin and Ethereum are expected to shrug off the “powerless opponent” SEC as the Federal Open Market Committee approaches.

If the total crypto market capitalization falls below its 200-week moving average (MA), it would be an indication of a bearish market. The Bitcoin moving average trend line is currently around $26,400.

He informed his Twitter followers with a chart, saying, “This is not the weekly candle we would prefer to observe on the total market capitalization for Crypto.”

Van de Poppe, similar to other well-known traders, nonetheless expressed enthusiasm for purchasing altcoins at lower prices.

Accompanying him was Crypto Tony, who foretold that there would be “incredible entries” in 2023.

For existing traders, however, the harm had already been inflicted – CoinGlass data revealed that long liquidations totaled $320 million by June 10, and the day was not yet finished.

An additional $70 million in short positions also disappeared.

Do the potential rewards of using crypto as collateral for home loans outweigh the risks?