Bitcoin, Ethereum, and XRP prices fell despite the CLARITY Act clearing the Senate committee. Traders sold after anticipation, geopolitical tensions pushed markets lower, and technical resistance capped Bitcoin. Liquidity and macro factors remain key drivers of crypto price movements.
Bitcoin, Ethereum and XRP prices have dropped sharply despite the CLARITY Act clearing the Senate Banking Committee. Traders had anticipated the bill, and recent geopolitical tensions combined with technical resistance added pressure. The overall crypto market cap declined $190 billion in five days.
Traders Sell After CLARITY Act Vote
The CLARITY Act’s advancement was priced in by investors before the Senate vote. Traders sold positions immediately after the confirmation, following a pattern seen during prior regulatory milestones. Bitcoin lost $6,000, Ethereum dropped over 10%, and XRP also fell.
The bill still requires 60 Senate votes, House reconciliation, and the president’s approval. Until all steps are complete, the legislation is not fully enacted. Markets continue to monitor these pending actions.
Geopolitical Risk Influences Markets
President Donald Trump’s warnings to Iran pushed oil prices above $107 per barrel. Global markets moved to risk-off mode, and cryptocurrencies sold off alongside equities.
Trump later confirmed that negotiations were underway and paused a planned military strike. Qatar, Saudi Arabia and the UAE requested the delay, citing progress toward a deal. Iran must still agree to avoid developing nuclear weapons.
Technical Resistance Shapes Bitcoin
Bitcoin faced rejection at the 200-day moving average, a historical ceiling for rallies. It now tests support at the 50-day moving average and prior range highs. Analysts note that holding current levels could allow Bitcoin to reach $83,000.
If $74,000 breaks, the next support lies in the mid-$60,000 range. Short-term movements are guided by these technical levels.
Arthur Hayes Comments on Regulation and Liquidity
BitMEX co-founder Arthur Hayes expressed doubts about the CLARITY Act’s influence on crypto prices. He stated, “So what is CLARITY going to bring? Nothing unless there’s more money printing.”
Hayes argued that liquidity and central bank policies remain the main drivers of Bitcoin. He maintains a $125,000 target based on expected monetary expansion. Hayes also noted that AI-related job losses could reduce consumption, affecting the banking system.
He emphasized that digital assets regulation mainly benefits centralized companies, not crypto assets themselves. Bitcoin has functioned outside the traditional banking system since 2009. Hayes said liquidity, rather than legislation, will determine the next price moves.
Hayes highlighted Hyperliquid as a key example of a crypto trading platform. The platform distributes revenue to token holders through buybacks, and no venture capital allocations are involved. He described this as a clear path for value to reach users directly.
The market reaction reflects a mix of anticipation-driven selling, geopolitical risk, technical resistance and macro liquidity conditions. Investors continue to watch regulatory and economic developments closely.
Disclaimer : Crypto News India does not recommend that any cryptocurrency should be bought, sold, or held by you. Do conduct your own due diligence and consult your financial advisor before making any investment decisions.
