Bitcoin fell sharply on Saturday, while smaller altcoins like Solana, Cardano and Dogecoin sold off in the wake of the Securities and Exchange Commission’s regulatory campaign against cryptocurrency exchanges.
Bitcoin fell to $25,501 early Saturday, reversing towards the worst levels since March it set earlier in the week. Bitcoin is currently down 3.2% from the previous 24 hours to around $25,613. The smaller coins fell to 2003 lows or worse on Saturday.
The Securities and Exchange Commission on Monday filed 13 counts against Binance, the world’s largest cryptocurrency exchange, and co-founder Changpeng Zhao, for alleged securities violations and illegally operating in the United States On Tuesday, the US Securities and Exchange Commission targeted the cryptocurrency giant in the United States. United Coinbase (currency), claiming that it operates as an unregistered stock exchange.
The SEC has also designated a number of tokens as unregistered securities, including Cardano and Solana. Robinhood Markets (hood) said Friday that it will delist Cardano, Solana and Polygon as a result.
The news caused cryptocurrencies and cryptocurrency stocks to plunge early in the week. Cathie Wood’s Ark Invest bought Coinbase shares for another $21 million on Tuesday. Stocks have rebounded somewhat, but COIN stock is still down 17.5% for the week.
Saturday’s tumble may reflect general concern about the SEC’s regulatory crackdown, as well as concerns about liquidity drying up, especially for smaller altcoins.
Ethereum, the second most popular cryptocurrency, fell 5.7% on Saturday to $1,735.
Cardano fell 17% to 25.43 cents, hitting a 52-week low of 22.95 cents overnight.
Dogecoin, promoted by longtime Tesla CEO Elon Musk, fell 12% to 6.06 cents, falling to 5.42 cents overnight.
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