The Securities and Exchange Commission’s (SEC) consecutive lawsuits targeting major cryptocurrency exchanges, Binance and Coinbase, sent shockwaves through the crypto industry.
Fearing potential repercussions, many investors swiftly withdrew their holdings from the exchanges, resulting in significant outflows and causing a substantial decline in the total crypto market cap.
However, just a day later, on June 7, the global crypto market staged an impressive response, recovering $30 billion, or 2.98% in the past 24 hours, according to data by CoinGecko.
At press time, the global crypto market cap stood at $1.164 trillion, up from $1.133 trillion a day ago. The calculations are based CoinGecko’s tracking of 10,006 cryptocurrencies tracked across 751 digital asset exchanges.
Since the SEC’s first lawsuit against Binance on June 5, which instantly triggered hundreds of millions in outflows, the global crypto market cap experienced a volatile range from $1.132 trillion to $1.180 trillion.
Bitcoin leads market rebound
As expected, the resurgence in crypto prices was led by the leading cryptocurrency, Bitcoin (BTC), which soared nearly 5% in the past 24 hours. At press time, BTC was trading at $26,771.
According to prominent crypto expert Michaël van de Poppe, Bitcoin must hold above the $26,100 mark “to avoid a cascade.” Otherwise, if it drops below that threshold, it would lead to a loss of the 200-weekly moving average (MA) on the global crypto market cap as well, he added.
Meanwhile, other cryptocurrencies that saw notable price jumps amid the broader market rebound include Ethereum (ETH), XRP (XRP), and Dogecoin (DOGE), rising by 3.2%, 6%, and 2.8%, respectively.
Even more striking, Terra Classic (LUNC) witnessed a double-digit return of more than 12% on the day, adding roughly $57 million to its market cap.
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