Bitcoin Sinks as Hopes for Clarity Act Fade Amid Democratic Counteroffer
Bitcoin's price dropped significantly on Tuesday, following a Democratic counteroffer that dimmed hopes for the Clarity Act's progress. The largest cryptocurrency by market cap fell as much as 4.9% from Monday's high of nearly $80K. The price slid to $76.6K on Tuesday afternoon, down 3.0% over the past 24 hours.
Ethereum, the second-largest digital token by market cap, also dropped 3.9% to $2.44K. The odds of the Clarity Act becoming law before January 1, 2027, slid to 13% from as high as 39% at 7:27 AM ET.
Legislators have been squabbling over the stablecoin legislation for about a year. A procedural vote to advance the bill to the Senate floor is due to take place on Tuesday afternoon, with major sticking points including ethics over legislators and the president profiting from stablecoins and other digital assets.