The CLARITY Act just cleared the Senate Banking Committee in the most significant crypto regulatory move in US history. Bitcoin should be rallying, but instead it has dropped $6,000 since the vote advanced the bill to the full Senate, wiping $126 billion off its market cap. Ethereum fell more than 10%, removing $ 30 billion. The total value of the crypto market has fallen by $190 billion in just five days.
Reason One: Sell the Story
The CLARITY Act was put on the table in the expected weeks before the vote. When the bill went forward, traders who bought in anticipation of the event were sold to the confirmation. This trend has been happening in crypto at all major regulatory events and Thursday was no different.
The bill still needs 60 votes in the Senate, House Reconciliation, and the President’s signature.
Reason Two: The Iran Conflict Is Back
Trump’s warning to Iran that “the clock is ticking” earlier this week sent oil above $107 a barrel and triggered a sharp move in global markets. Crypto sold off alongside currencies as geopolitical fears returned.
Trump has said that serious talks with Iran are underway and confirmed that he has suspended military strikes planned for tomorrow after the leaders of Qatar, Saudi Arabia, and the UAE asked him to hold off, saying a deal was possible. The army has been ordered to be ready to launch an all-out attack if there is no official agreement. This is clear: there are no nuclear weapons for Iran.
Reason Three: Rejection of Technology at Key Stages
Bitcoin was rejected at the 200-day moving average, a major technical ceiling that has blocked previous attempts. It is currently sitting on a 50-day support for moving and testing the previous version at the same time.
The technical picture from here is divided into two scenarios. If the bulls are active now, Bitcoin may try to push to $83,000 again. If the level of $ 74,000 is broken, experts expect a deep shock to the bottom with low support to the middle of $ 60,000.
Was this post helpful?
Story Ends Here
Trust CoinPedia:
CoinPedia has been providing accurate and timely cryptocurrency and blockchain updates since 2017. All content is created by our team of expert researchers and journalists, following strict Editorial guidelines based on EEAT (Effectiveness, Expertise, Validity, Trustworthiness). Each article is checked against a reputable site to ensure accuracy, visibility, and credibility. Our review policy ensures an unbiased review when we develop exchanges, platforms, or tools. We strive to provide timely updates on all aspects of crypto & blockchain, from startups to industry executives.
Investment Disclaimer:
All opinions and information shared represent the author’s opinion on market conditions. Please do your own research before making any financial decisions. Neither the author nor the publisher is responsible for your financial decisions.
Offers and Promotions:
Sponsored content and affiliate links can be viewed on our website. Advertisements are clearly identifiable, and our content is not independent of our advertisers.
Read the Next Article
