As financial markets begin the week with uncertainty, Bitcoin and stocks have shown a hesitant start. Bitcoin’s price dropped back below $27,000 on Saturday and is now hovering around $26,800. This uncertainty stems from the upcoming meeting between U.S. President Joe Biden and House Republican Speaker Kevin McCarthy to discuss the debt ceiling.
While Bitcoin experienced a slight decline, some altcoins showed positive growth on Monday. Among these is Tron’s TRX, which gained 8% on the day, fueled by a Twitter rumor suggesting that Tron will become legal tender in Hong Kong on June 1. This development, if true, would broaden the acceptance and usage of cryptocurrencies in the region.
In other news, Digital Currency Group (DCG) was unable to make a $630 million payment they owed to Gemini last week. Previously, Gemini CEO Cameron Winklevoss had threatened to sue DCG CEO Barry Silbert and DCG over repayment of a $900 million loan. The situation escalated when Genesis, a DCG entity, filed for Chapter 11 bankruptcy in January. The U.S. Securities and Exchange Commission (SEC) has accused both firms of selling unregistered securities through their Earn program. Currently, Gemini and other parties are proposing an amended reorganization plan with Genesis that would sidestep DCG’s approval.
Meanwhile, the Securities Commission Malaysia has ordered Huobi Global to halt operations in the country due to conducting business without registration. Huobi Global is required to disable its website and mobile applications and cease circulating, publishing, or sending advertisements to Malaysian investors. Operating a digital asset exchange without obtaining registration from the Securities Commission as a Recognized Market Operator is considered an offense under the Capital Markets and Services Act.
On a positive note, the chart from IntoTheBlock displayed daily changes in Bitcoin supply controlled by wallets holding coins for at least a year, amid the cryptocurrency’s fluctuating price since June 2022. The balance held by these so-called long-term investors is approaching a record high of 13.2 million BTC. According to blockchain data firm IntoTheBlock, this continued accumulation reflects unwavering conviction in the cryptocurrency’s future prospects.