Crypto Market Reacts to CLARITY Act Failure: Bitcoin Holds Ground
The cryptocurrency market is experiencing a mixed reaction to the failure of the CLARITY Act to pass a procedural vote in Congress. Bitcoin has held its ground, trading around $75,923, while Ethereum, XRP, and Dogecoin have seen significant declines.
According to Coinglass data, 91,737 traders were liquidated in the past 24 hours for $505.67 million. Meanwhile, Spot Ethereum ETFs saw net inflows of $121 million on Monday. Arbitrum has been identified as one of the top gainers, with Standard Chartered predicting it will reach $10 by 2030 and outperform both Bitcoin and Ethereum.
Dan Tapiero believes that Bitcoin is poised to hit $20 trillion by 2035, a 10x increase from its current value. However, not everyone is optimistic about the market's prospects. Trader KillaXBT notes that Bitcoin's pre-event decline may be a reflection of expectations that the Clarity Act could fail and the Fed could hike rates.
Bitfinex has observed that markets have shifted dramatically over the past few months, with the expectation of rate cuts giving way to a 93.5% chance of a hike. The bigger question is whether this will be a one-off event or the start of a longer tightening cycle.