Crypto News– The crypto market encountered turbulence as Bitcoin, Ether, and major altcoins faced a sudden downturn in response to the news of the arrest of Samourai Wallet founders by the United States Department of Justice (DOJ). Against the backdrop of ongoing tensions in the Middle East and heightened post-halving volatility, the arrest of Samourai Wallet CEO Keonne Rodriguez and chief technology officer William Hill sent shockwaves through the cryptocurrency community.
The arrest of Samourai Wallet founders triggers a stumble in the crypto market
According to a report by Cointelegraph on April 24, Rodriguez and Hill were each charged with one count of conspiracy to commit money laundering and one count of conspiracy to operate an unlicensed money transmitting business. The announcement of their arrest by the DOJ immediately impacted the cryptocurrency market, causing significant price drops within the span of just an hour.
Bitcoin, the leading cryptocurrency, experienced a notable decline of 3.6% shortly after the news broke. Its price plummeted below key support levels, reaching as low as $63,710 before showing signs of a slight recovery to $64,546, as reported by CoinMarketCap data.
The arrest of the Samourai Wallet founders added to the market’s existing uncertainty, exacerbating concerns surrounding geopolitical tensions and the effects of the recent Bitcoin halving. Investors and traders closely monitored developments in the situation, with the incident highlighting the interconnectedness between regulatory actions and cryptocurrency market dynamics.
During the same period, Ether experienced a decline of 2.51%, failing to recover and dropping further to $3,158.
Other major altcoins were also affected by the market downturn. PEPE witnessed a brief 6.4% drop, Shiba Inu experienced a 2.7% decline, and Dogecoin briefly dipped 3.2% following the announcement.
In the past 12 hours, the crypto market witnessed significant liquidations of long positions, with $33.08 million worth of Bitcoin, $29.88 million worth of Ether, and approximately $23 million across other crypto assets, according to CoinGlass data.
This decline occurred amidst escalating geopolitical tensions in the Middle East. On April 24, the Israeli military conducted strikes on around 40 locations associated with Hezbollah in Southern Lebanon, as reported by local sources.
The crypto community had already anticipated short-term volatility following the Bitcoin halving event, which occurred on April 20. Pseudonymous crypto trader Rekt Capital shared with their 456,400 followers on April 24 their prediction that the next bull market peak might not materialize until late 2025, approximately 546 days after the halving.
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