Bitcoin briefly responded positively to the news of lower inflation reflected in the May Consumer Price Index, but has since remained stagnant below $26,000 as investors await the Federal Reserve's interest rate decision. The SEC lawsuits against Binance and Coinbase have provided some certainty to the market and may lead to fresh investment in crypto assets.

Ether followed Bitcoin's lead, initially rising before returning some of its gains, while other tokens mentioned in the lawsuits saw mixed results. The economy appears to be trending towards a quarter of negative growth, which could force the Central Bank to shift its focus from reducing inflation to avoiding a recession.