Cryptocurrency Markets Tumble Amid CLARITY Act Speculation
Cryptocurrency markets were under strain on Sunday evening as leading assets like Bitcoin (BTC), Ethereum (ETH), XRP, and Dogecoin dropped in value. The price of Bitcoin fell to an intraday low of $76,367, while Ethereum followed a similar pattern later in the session.
The market's decline came amid speculation over the passage of the CLARITY Act in the Senate, which is scheduled to hold a procedural cloture vote on Tuesday. Long position traders bore the brunt of the losses, with over $270 million being liquidated from the cryptocurrency market over the last 24 hours.
Cryptocurrency chartist Michaël van de Poppe said that Bitcoin needs to reclaim $78,000 for a potential rally to $90,000 in coming weeks. However, he also noted that he would buy dips if $78,000 doesn't break and BTC falls to $74,000.
Ethereum analyst Ali Martinez drew attention to the formation of an ascending triangle on Ethereum's 12-hour chart. This bullish chart pattern can precede an upside breakout, which could send ETH to $3,000 if it breaks out again.