Bitcoin price drops below $29,000 after judge casts doubt on Ripple ruling

Quick Take

  • Crypto stocks fall as bitcoin’s price hit a six-week low.

Crypto stocks fell Tuesday as bitcoin's price hit a six week low. The moves followed news yesterday that a federal judge took issue with a widely watched split-decision in the ongoing suit by the Securities and Exchange Commission against Ripple Labs.

The world's largest digital asset by market capitalization fell 1.8% over the past 24 hours to $28,790 at 11:24 a.m. ET, according to CoinGecko. It last traded below $29,000 on June 21.

Coinbase shares declined 7.4% to $91.30. Miners also suffered, with Riot Platforms declining 5%, Marathon Digital falling 6.5% and Canada's Hut 8 Mining shedding 5.7%.

Bull market signals

Bitcoin spent most of last week below the $30,000 mark, lacking an impetus to sustain the upward momentum that saw it reach a yearly high around $31,800 earlier this month. 

Although it's declined below its recent range, analysts at Bitfinex said on-chain metrics are bullish.

"When bitcoin re-ascends to a position above its Realized Price, following an extended period of staying below it, this usually signals the onset of a new bull market. This correlation between bitcoin's price rebound and the initiation of a bull market is a noteworthy trend in the historical performance of the cryptocurrency," Tuesday's Bitfinex report stated.

Curve Finance's CRV token, meanwhile, dropped 8% to 58 cents following Sunday's exploit of its DeFi infrastructures via a bug in the underlying code. Other tokens declined amid concern about a $168 million lending position held by Curve founder Michael Egorov on the Aave protocol that is secured by CRV.

Should the position be liquidated, a series of rapid liquidations could be triggered. AAVE is down 8%, COMP fell 8.8%, MPL declined 3.2% and MKR lost 2%.

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