Crypto Markets Rebound After News the US SEC Will not Consider Ethereum a Security

June 14th: all but two of the top 100 cryptocurrencies by market capitalization are making gains, according to Coinmarketcap data. Gains in of over 10 percent in some coins are a welcome respite for investors after crypto markets took a battering over the course of last month. Today’s gains are likely due to positive news that Ethereum (ETH) will not be regulated as a security under U.S. law.

Coin360

Market visualization from Coin360

Bitcoin (BTC) is now up 5.89 percent in the 24-hour period, trading around $6,688 at press time. The leading cryptocurrency began to see a reversal of its downtrend late afternoon today, recovering from its intraday low of $6356.

As of press time, Coinmarketcap data indicates rising BTC trading volumes of $5.1 bln over the 24-hour period, up from their weekly low of $3.8 bln.

To better enjoy the rally, Bitcoin’s supporters can now count among them the former Chief Strategist for the Trump administration, Steve Bannon, who, as Cointelegraph reported today, reportedly holds a “good stake” in Bitcoin.

The controversial figure has even raised the idea of launching his own cryptocurrency, dubbed the “deplorables coin” in an homage to Hillary Clinton’s reference to Trump supporters as a “basket of deplorables.”

Bitcoin Price Index

Bitcoin price chart from Cointelegraph’s Bitcoin Price Index

Ethereum (ETH) has seen a 10 percent rise in the 24 hour period, trading around $518 at press time.

The leading altcoin has likely spiked in response to remarks from a senior Securities and Exchange Commission (SEC) earlier today that Ethereum is considered to be sufficiently decentralized to escape a securities classification under U.S. law.

SEC Corporation Finance Director William Hinman told Yahoo Finance’s All Market Summit: Crypto in San Francisco that:

“Based on my understanding of the present state of ether, the Ethereum network and its decentralized structure, current offers and sales of ether are not securities transactions.”

Recent months have seen mounting uncertainty over whether Ethereum would be considered a “noncompliant” security for failing to register its Initial Coin Offering (ICO) with the SEC back in 2014.

Last week, SEC Chair Jay Clayton