On Monday afternoon, Bitcoin is climbing back toward the psychologically significant $80,000 mark, holding its ground against the general market sentiment. Investors are eagerly awaiting a eagerly anticipated procedural vote in the US Senate on Tuesday regarding the „Clarity Act“ bill. Investors are currently skillfully ignoring geopolitical and monetary policy risks and betting on tailwinds from Washington. The market currently views sensible regulation not as an enemy, but as a paving stone for the final mainstream acceptance of Bitcoin and company.
Bitcoin
CLARITY Act has stalled - investors are hoping for implementation
Specifically, the „Clarity Act“ is intended to create a new regulatory framework for crypto assets and other digital assets. However, it has been stuck in the Senate for months. Although the bill passed the Senate Banking Committee in May, it has stalled as Senate leadership struggles to secure the necessary 60 votes.
Already during his US presidential campaign, Donald Trump had announced to the crypto industry that he wanted to make the USA the „crypto capital“ of the world.
Outlook: All eyes on the Fed
Also of interest should be the Fed monetary policy meeting on Wednesday evening. While the interest rate decision is expected at 8:00 p.m., Kevin Warsh is scheduled to speak publicly at 8:30 p.m. Monetary policy developments are likely to be of interest because the prospect of rising capital market interest rates could weigh on non-yielding assets such as Bitcoin. According to data from the CME Group's „FedWatch Tool,“ over 80 percent of market participants expect a rate hike totaling a quarter of a percentage point. The interest rate band itself currently stands at 3.50 to 3.75 percent.
