Robinhood and Webull rally after day-trading rule repeal boosts crypto orders

Robinhood shares rose 7% and Webull gained 4% as executives reported a surge in retail cryptocurrency buying after the pattern day-trader rule was repealed.

Robinhood and Webull shares rose as retail crypto trading increased following the repeal of the pattern day-trader rule, Yahoo Finance reported.

Robinhood stock gained 7% to $110.97, while Webull rose 4% to $8.86. Webull Chief Executive Officer Anthony Denier told CNBC that buy-side orders for major crypto assets had increased by almost 300% over the previous week and a half.

The rule previously required accounts making four or more day trades in five business days to hold at least $25,000 in equity. Its repeal on June 4 expanded access for smaller accounts.

Bitcoin was up about 0.4% over 24 hours near $80,000, while the ARK Blockchain and Fintech Innovation ETF rose 2% and the iShares Bitcoin Trust ETF gained 0.6%. The move highlights how brokerages can benefit from transaction activity even when the underlying asset’s price is little changed.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.

Robinhood and Webull shares rose as retail crypto trading increased following the repeal of the pattern day-trader rule, Yahoo Finance reported.

The rule previously required accounts making four or more day trades in five business days to hold at least $25,000 in equity. Its repeal on June 4 expanded access for smaller accounts.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.