Bitcoin Slides as Warsh Stays Hawkish and Markets Await a Lasting US-Iran Agreement: Weekly Recap
The cryptocurrency markets experienced another volatile week, punctuated by geopolitical developments and central bank policy signals. Early in the week, promising news emerged regarding a potential deal among parties involved in the Middle East conflict, initially sparking optimism.
However, the path forward proved complex. Bitcoin’s price struggled to breach the $64,000 mark until Sunday evening, coinciding with the announcement of a potential deal. This news triggered an immediate surge, propelling BTC to $66,000 within hours and further to over $67,000 on Monday, reaching a multi-week high.
The rally was short-lived. In the hours preceding the Federal Open Market Committee (FOMC) meeting on Wednesday, the first under the new Fed Chair, Bitcoin dipped below $65,000 before briefly jumping to $66,400. However, the Federal Reserve’s confirmation of no interest rate cuts, as widely anticipated, coupled with a hawkish tone from former Fed Governor Kevin Warsh in his subsequent speech, led to another decline.
Bitcoin continued its downward trend in the following days, hitting a weekly low of $62,300 earlier today. This slump occurred amid growing concerns that a memorandum of understanding between the United States and Iran might not materialize. Nevertheless, reports emerged today that Israel and Hezbollah have agreed to a ceasefire, scheduled to commence at 14:00 BST on Friday.
In response, Bitcoin saw another uptick, trading above $63,000 as of press time. The cryptocurrency is likely to gain further momentum if a permanent deal is indeed signed as promised. However, the broader market sentiment remains fragile, particularly with ongoing uncertainty surrounding Strategy and its controversial STRC shares. Further details on this will be provided shortly.
For the week, Bitcoin remains in negative territory, alongside BNB, DOGE, XMR, CC, BCH, and ADA. In contrast, HYPE, XLM, WLD, UNI, and RAIN have posted double-digit gains.
Market Cap: $2.26T | 24H Vol: $75B | BTC Dominance: 56.1%
BTC: $63,230 (-1.3%) | ETH: $1,700 (+0.85%) | XRP: $1.14 (-0.9%)
Strive CEO: Sharp STRC, SATA Drops Were Leverage Liquidations, Not Credit Failures
Despite making another $100 million Bitcoin acquisition this week, Michael Saylor’s Strategy has faced scrutiny over its STRC shares. The financial vehicle has fallen significantly below its intended $100 price point, and a sharp decline on Thursday exacerbated investor concerns, even as Strive’s CEO defended the product and its issuer.
Bitcoin Dips Below $64K Again: Here’s How Whales Reacted
Amidst Bitcoin’s price instability and persistent weakness, large holders, or “whales” (those with at least 1,000 BTC), have increased their holdings to their highest levels in over three months. These entities now control nearly 36% of Bitcoin’s available supply.
Morgan Stanley Files Amendments, Clearing Path for Cheapest ETH, SOL ETFs
Months after launching its Bitcoin ETF, Morgan Stanley has filed amendments for its Ethereum and Solana ETF applications. If approved, these new financial products are expected to be the most cost-effective on the market and will incorporate staking arrangements.
BlackRock Rolls Out Bitcoin Income ETF as Demand for Covered Calls Grows
In related news, the world’s largest asset manager, BlackRock, has launched its iShares Bitcoin Premium Income ETF (BITA). This new offering expands its product lineup with a yield-focused vehicle designed to capitalize on the growing demand for covered call strategies.
Illinois Passed the Most Anti-Crypto Law in the US: Miles Jennings
On June 17, Illinois enacted the Digital Asset Privilege Tax Act. Miles Jennings of Andreessen Horowitz described the legislation as “one of the most anti-crypto laws in the US,” imposing a 0.2% tax on the exchange, transfer, and custody of cryptocurrencies, with limited exemptions for routine self-custody activities.
Bitmine Adds $135M in ETH, Closing In on 5% of Ethereum Supply
The broader market’s weakness has not deterred Bitmine from its objective of acquiring 5% of Ethereum’s total supply. In its latest acquisition, the company announced it had purchased approximately 77,000 ETH for $135 million, bringing its total holdings to 5,620,754 tokens.
This week’s analysis also includes charts and price action for Ethereum, Ripple, Cardano, Binance Coin, and Hyperliquid. A complete price analysis is available.
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