Weekly Roundup: Bitcoin on a Rollercoaster, Russia's Supreme Court Recognizes Cryptocurrency as Subject to Theft, and EU Prepares for Market Cleanup
The past week was rich in events that set the direction for the entire crypto market. Bitcoin staged classic "roller coaster" moves, Russian courts finally clearly defined the legal status of digital assets, and European regulators began tightening the screws, reminding of the imminent entry into force of MiCA. Let's break down the key points.
Bitcoin: bounce, drop, and return to square one
The start of the week was marked by a sharp surge in Bitcoin from $64,000 to a local high of $67,278. The main catalyst was news of a possible truce between the U.S. and Iran. However, the market quickly sobered up: weak demand and bearish factors, reinforced by the first Federal Reserve meeting under Kevin Warsh, sent prices tumbling. The regulator kept the rate at 3.5-3.75% but did not rule out a hike by the end of the year. This triggered a break below $64,000, followed by a drop to $62,000 due to renewed uncertainty in the Middle East.
By the weekend, the situation improved: the U.S. delegation did fly out for negotiations after all, and falling oil prices spurred capital inflows into risk assets. As a result, Bitcoin returned to just above $64,000, virtually unchanged on the week. Against this backdrop, altcoins showed more impressive dynamics: Solana gained 8.6%, Ethereum 3.5%, and the Hyperliquid token surged nearly 12%.
Investor interest in the flagship cryptocurrency continues to wane. A six-week outflow from spot Bitcoin ETFs reached a record $5.43 billion, reducing total capital to $78.3 billion — a level seen in November 2024. The Fear and Greed Index, while rising from 18 to 23 points, remains in the zone of extreme fear. Bitcoin's dominance slightly decreased to 58.4%, ceding share to Ethereum (9.5%).
Russia: cryptocurrency equated to property
The Supreme Court of the Russian Federation made a landmark decision by amending its ruling on judicial practice in cases of theft, robbery, and mugging. The list of items subject to theft now officially includes digital rubles, digital rights, and digital currency. This is an important step in the legal qualification of crypto assets. The court also clarified that the theft of non-cash funds is considered complete at the moment the money is debited from the victim's account, and a series of consecutive debits united by a single intent will be treated as one continuing crime.
Europe: no license — get out
The European Securities and Markets Authority (ESMA) issued an ultimatum: from July 1, crypto companies without a MiCA license must cease servicing clients in the EU. The regulator requires a plan for winding down operations to be prepared in advance. According to Hogan Lovells, only 194 out of 3,000 companies previously operating in the region had received official authorization by May. It is expected that about 75% of old platforms will leave the market, resulting in account blocks and demands for users to withdraw funds. The region is bracing for a major cleanup.
Ethereum: funding crisis and quantum protection
The Ethereum ecosystem may face a "slowly escalating funding crisis" in the next 3-9 months. Former Ethereum Foundation employee Trent Van Epps points to two key factors: shrinking treasury capabilities (a plan to reduce annual spending to 5% by 2030) and the end of the Client Incentive Program in April 2026. Without stable funding, the ecosystem risks losing critically important developers and falling behind in preparing for challenges, including quantum computing.
At the same time, a solution for protection against quantum attacks has been proposed on the Ethereum network. The SPHINCS- concept by Nicolas Consigny allows securing wallets without a hard fork, at a cost of about $0.07. This is an intermediate step before launching the more efficient leanSPHINCS system, which will reduce costs through data aggregation.
My comment: The week clearly outlined the trends: Bitcoin is stuck in consolidation, and its salvation lies only in macroeconomic triggers, not fundamentals. The Russian Supreme Court's decision is not a tightening but rather an acknowledgment of reality, making cryptocurrency a full-fledged object of law, and therefore, protection. The European market, meanwhile, is entering a "survival of the fittest" phase, which will strengthen its legitimacy in the long term but will cause serious shock for users in the near future.