$70B Gone From Crypto Markets As SEC Cracks Down On CEXs: Market Watch

Bitcoin fell by over $1,000 in the past 24 hours to a three-week low below $22,000 as the SEC officially went after crypto betting.

Most altcoins are bleeding just as bad, with ADA, DOGE, OKB, SOL, DOT and many others dumping over 5% in a day.

BTC Dumps Below $22K

It was at the beginning of the month, following the latest rate hike by the US Federal Reserve, when the largest cryptocurrency soared to $24,300 (on Bitstamp) to chart a five-month high. However, the tide turned at that point when the bears reminded of their presence.

BTC was not only unable to sustain above $24,000, but fell back to $23,000 days later. It spent the weekend around that level on low trading volume before trying to overcome the latter again earlier this week, but to no avail.

As such, bitcoin remained stuck in a familiar area near $23,000. That’s when the landscape changed as rumors of the SEC cracking down on crypto efforts actually materialized, and the regulator went after Kraken.

In the following hours, BTC fell by approximately $1,500 and fell to a three-week low of $21,600. Despite recovering a few hundred dollars now, bitcoin is still down more than 3% on the day. The market value is down to 420 billion dollars, while the dominance over altcoins is 41.4%.

Altcoins in red

Altcoins have also turned red on a daily scale following the SEC’s actions. Ethereum is down 5% in a day and is struggling at $1,550. Just for reference, ETH was well above $1700 until days ago.

Binance Coin, Ripple, Polygon, Litecoin and Tron have dropped up to 4% in a day. Even more losses are evident from Cardano, Dogecoin, OKB, Solana, Polkadot and Shiba Inu have fallen by up to 8%.

The situation with the lower and mid-cap altcoins is similar, as most have fallen between 5-10%. As such, it’s no wonder that the cumulative market capitalization of all crypto assets has dropped by $70 billion in one day and is just inches above $1 trillion.