The cryptocurrency market greets the morning of July 6 with mixed signals. Bitcoin shows cautious growth, but key events are unfolding in the realms of regulation and memecoins. Investors in Donald Trump's token have suffered massive losses, European bankers are sounding the alarm over AI, and South Africa is bringing clarity to the taxation of digital assets.
Market Dynamics: BTC and ETH in a Sideways Trend
As of 07:47 Moscow time, Bitcoin (BTC) is trading at $63,253, gaining over the last 24 hours. The daily range was from $62,413 to $63,935. Ether (ETH) is showing sideways movement, stabilizing around the $1,780 mark.
In the top 10 by market cap, Hyperliquid shows the best performance over the day and week (+3.90% and +15.39%, respectively). All coins in the top ten are in the "green zone" both over 24 hours and over seven days.
Among the top 100 assets, Lighter is the daily growth leader (+21.66%), and MemeCore is the weekly leader (+116.77%). The largest losses over 24 hours are recorded for 安居人生 (-4.86%), and over the week for Jito (-11.46%).
Trump's Memecoin: Nearly a Million Investors in the Red
Perhaps the biggest story of the morning is the collapse of the Official Trump token. According to data from the analytics platform Nansen, by the end of June, 988,905 holders of the coin were at a loss, accounting for roughly two-thirds of all buyers. The total losses for investors reached $3.8 billion.
Recall that the token was launched a few days before Trump's inauguration in January 2025. The coin rapidly soared above $73 but has since collapsed by more than 97%, currently trading around $1.70. Notably, less than half a million wallets (early buyers) managed to book a profit of $4 billion. Thus, the mass retail investor lost money, while a narrow group of insiders made a huge killing.
A similar situation has developed with the token of the World Liberty Financial platform: 85% of tracked wallets are in the red. Donald Trump himself, according to his financial disclosure, earned over $630 million from the memecoin and about $800 million from the WLFI platform.
European Regulators Warn: AI Outpaces Laws
Bank of England Deputy Governor Sarah Breeden stated that agentic AI could amplify volatility during times of market stress. She questioned whether the market needs "circuit breakers" analogous to those on exchanges that halt trading if AI models trigger a crash.
European Central Bank President Christine Lagarde called AI technology a "serious risk," especially in terms of cybersecurity, as threats emerge very quickly while protective measures have yet to be found. Earlier, similar concerns were voiced by Nikhil Rathi, CEO of the UK's financial regulator, and the Bank for International Settlements.
From my perspective, this is a signal that regulation of the crypto market and related technologies will tighten. Bankers see AI not so much as a tool for growth, but as a factor of instability that could trigger systemic crises.
South Africa: Crypto is an Intangible Asset, Not Currency
The South African Revenue Service (SARS) has published a draft clarification on the taxation of crypto assets. The document relies on the Income Tax Act of 1962 and capital gains tax rules. According to the draft, most crypto transactions (trading, exchange, spending) are considered disposal of an asset and may trigger a tax event.
A key element is the individual's intention: it determines whether they are considered a trader or a long-term investor. Behavior, frequency of transactions, and the purpose of holding the asset are taken into account. Crypto is treated not as currency, but as an intangible asset. If the rules are adopted, they will affect millions of users — according to 2024 data, at least 5.8 million residents of the country owned crypto.
The draft is open for public comment until August 31 and is intended to bring clarity, not introduce new obligations. This is a positive step that, I hope, will reduce legal uncertainty for South African investors.
My Professional Commentary: The morning of July 6 confirms that the market is in a consolidation phase, with the main movements occurring in the memecoin and regulatory segments. The story of the Trump token is a classic example of a pump-and-dump, where retail investors serve as liquidity for insiders. I recommend exercising caution and not giving in to emotions when entering such assets. Focus on fundamentally strong projects with real utility.