Market Drama Continues as BTC and ETH Gain Amid CLARITY Act Uncertainty

The global cryptocurrency market capitalization stood at $2.2 trillion on Wednesday, following a dip of 0.79% over the last 24 hours. The CLARITY Act, a bill aimed at clarifying cryptocurrency regulations in the US, is still pending Senate approval and has sparked renewed drama in the market.

Cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH) inched higher on Wednesday, with BTC gaining 0.66% to reach $64,483.17 and ETH climbing 2.12% to hit $1,905.74. In contrast, XRP and Dogecoin traded lower, falling by 0.82% and 0.31%, respectively.

Analyst Ali Martinez spotted a bullish divergence between Bitcoin's price and net capital flows, which he believes could be an early sign of a market bottom. He noted that this signal preceded the rally from $15,000 to $126,000 in the past cycle, representing a 740% upside.