Bitcoin dominance index hits 2021 high

Bitcoin’s dominance reached 45.84% for the first time since July 2021.

Prior to this, the index had reached similar levels in April 2023, near the 45% mark, but quickly fell to 43%. Similar levels were observed in December 2022.

The overall crypto market cap stood at $1.05 trillion, down 4.89% in 24 hours, according to CoinGecko.

On June 5, the U.S. Securities and Exchange Commission (SEC) filed suit against Binance and its CEO Changpeng Zhao. The regulator brought 13 charges, including the sale of unregistered securities. On the following day the SEC filed a similar suit against Coinbase.

Against this backdrop, prices of many altcoins, which the Commission had equated with securities, fell. However, the situation did not significantly affect Bitcoin’s price, and liquidity likely began flowing into the first cryptocurrency.

At the time of writing, the asset is trading at $25,069, virtually unchanged over the past 24 hours.

On June 14, the U.S. Federal Reserve kept the target range for the federal funds rate at 5–5.25% for the first time since March 2022. The crypto market barely reacted to the regulator’s decision.

In late May, the White House signed an agreement on the US debt ceiling, which sparked volatility in Bitcoin and other coins.