Bitcoin drops below $60k as Coinbase misses earnings
In brief
- Bitcoin fell below $60,000, down 54% from October peak; Ether slumped to ~$1,500 (69% below last year's high)
- Coinbase stock down 69% from all-time high after missing Q1 revenue targets; Circle down 72% from peak
- EU Parliament's economic affairs committee urged European Commission to assess crypto lending, staking, NFTs, and DeFi regulation
- Securitize tokenization platform expects $400 million public debut via merger with Cantor Equity Partners II
Market selloff deepens across digital assets
Bitcoin falling below $60,000 marks another leg down in what's become a prolonged downturn for the crypto sector. Ether has also slumped to around $1,500, roughly 69% below last year's high, signaling weakness across major cryptocurrencies.
Coinbase and Circle shares have fallen significantly further than their Big Tech peers, underscoring the divergence between traditional technology stocks and crypto-exposed equities. Coinbase (COIN) and Circle (CRCL) are down 69% and 72%, respectively, from their all-time highs.
The selling pressure on Coinbase intensified after Coinbase reporting first-quarter revenue that missed Wall Street expectations. Revenue misses during a downturn can amplify investor anxiety about near-term earnings recovery.
Regulatory scrutiny widens in Europe
The European Parliament's economic affairs committee has taken a broader view of crypto oversight. The European Parliament's economic affairs committee has urged the European Commission to assess whether crypto lending, staking, NFTs and DeFi should be regulated.
Drafted by Belgian Member of the European Parliament Johan Van Overtveldt, the report is an own-initiative resolution scheduled for a plenary vote expected July 7. The move signals Europe's intent to close regulatory gaps around yield-bearing crypto products and decentralized finance protocols.
Securitize advances toward public markets
Tokenization platform Securitize is moving closer to a public listing. Securitize said on Friday it expects to raise $400 million in its upcoming public debut through a merger with Cantor Equity Partners II.
Securitize said its final redemption results showed less than 30% of CEPT shareholders elected to redeem their shares, a sign of investor confidence in the combined entity. The merger between Securitize and CEPT is expected to close on Wednesday, July 1, subject to shareholder approval, with the company trading under ticker SECZ on the New York Stock Exchange on Thursday, July 2.
Frequently asked questions
Why did Coinbase stock fall so sharply?
Coinbase reported first-quarter revenue that missed Wall Street expectations, triggering the selloff. The broader crypto downturn, with Bitcoin down 54% from October and Ether down 69% from last year's high, has weighed on the exchange's earnings prospects and investor sentiment.
What's the European Parliament doing about crypto regulation?
The economic affairs committee urged the European Commission to assess whether crypto lending, staking, NFTs, and DeFi should be regulated. A report drafted by Belgian MP Johan Van Overtveldt is scheduled for a plenary vote expected July 7.
When will Securitize go public?
Securitize's merger with Cantor Equity Partners II is expected to close on Wednesday, July 1, with the company trading under ticker SECZ on the New York Stock Exchange on Thursday, July 2. The platform expects to raise $400 million from the transaction.
