Crypto firms call for ‘immediate’ regulatory clarity in letter to President Donald Trump

Coinbase has reported a significant widening of its 'negative premium,' indicating weak demand in the U.S. cryptocurrency market. This premium gap has reached its widest level since the first quarter of the year, reflecting a decline in institutional interest and increased selling pressure on Bitcoin.

The U.S. Securities and Exchange Commission (SEC) has expressed support for the evolution of cryptocurrency, positioning market forces as the ultimate judge of value. This positive sentiment reflects a shift towards recognizing the role of digital assets in the financial landscape, suggesting a more open regulatory approach to cryptocurrencies.

The Bitcoin market is undergoing a significant momentum reset, typically seen during the cooling phase between major trend cycles. After a period of strong directional movement, the market is now reassessing its trajectory. Historical data suggests that previous resets have taken several weeks, with analysts questioning how long it will take for Bitcoin to regain upward momentum.

Bitmain Technologies, a cryptocurrency mining hardware company based in Beijing, is currently under investigation in the United States for potential surveillance activities. This inquiry raises concerns about the company's operations and compliance with U.S. regulations.

Bitcoin has entered a significant bearish phase, with prices dropping from over $126,000 to approximately $83,790, marking a 34% decline and erasing around $715 billion in market value. CryptoQuant's Bull Score Index has fallen to 20 out of 100, indicating weak buying momentum and reduced liquidity. The cryptocurrency closed below its 365-day moving average, suggesting a more bearish market than previous corrections.

US Treasury Secretary Scott Bessent made a surprise appearance at the opening of a Bitcoin-themed bar, Pubkey, in Washington, DC. His visit has garnered significant attention from both supporters and skeptics of cryptocurrency, with many interpreting it as a sign of improving relations between the government and the crypto sector. The event sparked a mix of excitement and caution within the Bitcoin community.

Coinbase has launched Ethereum-backed loans for eligible U.S. customers, allowing users to borrow up to $1 million in USDC without selling their ETH holdings. This new offering aims to enhance liquidity for users while leveraging their existing cryptocurrency assets.

The Bitcoin For America Act was introduced by Republican Representative Warren Davidson, aiming to allow federal tax payments in Bitcoin (BTC) and establish a strategic reserve for the cryptocurrency. This initiative aligns with the vision of making the U.S. a leader in the crypto space, as previously emphasized by Donald Trump. The proposal seeks to integrate Bitcoin into federal financial operations, enhancing the use of cryptocurrency in tax transactions.