Bitcoin Stalls Near $60K as Strategy Moves, ETFs Outflow, and EU MiCA Rules Take Effect

Bitcoin remains stuck at just under $60,000, while the BTC company Strategy surprises with a new financial tactic. The MiCA rules will be applied in the EU starting tomorrow.

Bitcoin was trading at around $59,500 on Tuesday morning, down 0.5 percent for the day.

Bitcoin ETFs saw a $231 million outflow of capital on Monday

Strategy, the world’s largest Bitcoin company, has once again responded to doubts about its financing strategy. A press release announced that it has increased its cash reserves to $2.55 billion. This is sufficient to cover dividends on its preferred stock, STRC, for approximately 17 months. STRC had recently fallen significantly from its target price of $100 to below $80.

Following the announcement, STRC rose 12 percent and is currently trading at around $84. Strategy has also now admitted to selling up to $1.25 billion worth of Bitcoin to further increase its cash reserves. Founder Michael Saylor calculates on X that this will allow the company to meet its STRC obligations for nearly 26 months. Simultaneously, the dividend on STRC was increased by 0.5 percent to 12 percent, presumably in an effort to further boost the share price.

Strategy’s common stock, MSTR, also rose by approximately 11 percent, slightly recovering from its yearly low of the past few days. The markets seem somewhat reassured regarding Strategy, which, with its 847,363 Bitcoins, has the potential to cause the BTC price curve to collapse through panic selling.

Ethereum was trading at just under $1,600 on Tuesday morning, a modest daily gain of 1 percent. Ethereum ETFs reported a $30 million outflow from Monday’s trading.

While Strategy Bank didn’t purchase any new Bitcoin last week, Bitmine Immersion continued its strategy with Ethereum

According to a press release , Bitmine acquired an additional 27,084 ETH, bringing its total holdings to just over 5.7 million ETH, representing 4.7 percent of the total circulating supply.

Bitmine values ​​its reserves at nearly $10 billion, comprised of a mix of Ethereum, Bitcoin, cash, and investments. Bitmine Immersion’s common stock (BMNR) rose 2 percent for the day but remains just above its yearly low.

Spokesperson Tom Lee, meanwhile, anticipates rising Ethereum prices starting in July, noting that June was a challenging month for balance sheet reasons.

Altcoins: Lighter increases, Jito loses ground

Today’s top performer is Lighter (LIT), with a 10 percent gain. The company operates a platform for trading digital assets, and Lighter hinted at positive quarterly results yesterday.

The biggest loser of the day is Jito (JTO), down 9 percent. Jito offers Solana staking as a service, but SOL is in crisis, down 40 percent since the beginning of the year.

The crypto sentiment barometer is stuck in the “extreme fear” zone; at least the US and Iran plan to resume their peace talks today.

From tomorrow, July 1st, the MiCA regulations will be strictly enforced in the EU, which will have a noticeable impact on cryptocurrency exchanges and platforms. Binance, the global market leader, will have to significantly restrict its offerings, as its MiCA licensing application in Greece failed. Binance founder Changpeng Zhao suggested in an interview that political interference was behind the setback.

Binance intends to maintain its presence in Europe and will now apply for a MiCA license in another country. The industry portal CoinDesk estimates that around 10 million crypto investors in the EU will be affected by the stricter regulations. You’re on the safe side with platforms like Coinbase , which even offers a bonus and support for switching accounts to new customers.

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(Featured image by Kanchanara via Unsplash)

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