"Remind me to recover, it seems to have fallen down again."
Cryptocurrency markets including Bitcoin (BTC) are facing significant 'bleeding' immediately after the United States (US) Securities and Exchange Commission (SEC) imposed a lawsuit against digital asset exchange Binance.
In addition to BTC plunging by 4.91% at $25,679, prices of other digital assets such as Cardano (ADA), Solana (SOL), Polygon (MATIC) and Filecoin (FIL) were also affected when the SEC defined them as unregistered securities.
ADA price is down more than 7.21% at $0.34 from its high of $0.38 while SOL slipped 9.20% at $19.89 in the last 24 hours with a market capitalization of $7 billion.
While MATIC plunged around 6.33% at $0.83 in the last 24 hours with a trading volume of $337 million and FIL was down 8.86% at $4.21 with a market cap of $1 billion from $5.02 on June 3, 2023.
It is understood that the price of BTC and other digital assets will experience a more drastic fall in the near term due to somewhat negative news, but for the most part it has been able to maintain good resilience since the beginning of the year.
While it is currently unclear how far the decline will take place, BTC in the past few weeks has shown signs of retesting the $30,000 resistance level but is now blocked due to the SEC.
Despite this, the price of BTC has the potential to see long-term growth following Hong Kong and the United Arab Emirates (UAE) joining forces to further strengthen the crypto market through regulation.
