White House Crypto Support Boosts Bitcoin Rally, Traders Eye Leveraged ETF

The White House's recent cryptocurrency confab has sparked a significant rally in Bitcoin, with the largest digital currency notching a double-digit gain over August 19-20. The bounce could be durable if it continues, making aggressive traders interested in the Direxion Daily Bitcoin Bull 2X ETF (BTCU). Launched in May, BTCU attempts to deliver 200% of the daily performance of the largest basic spot Bitcoin ETF.

Some key crypto executives are optimistic about the Clarity Act, which seeks to position the US as a global cryptocurrency leader. Coinbase Global (COIN) CEO Brian Armstrong told CNBC he's 'pretty optimistic' that the bill will garner the 60 votes needed to pass in the Senate. If that happens, BTCU could be an ideal way for traders to play the event forward.

The Securities and Exchange Commission has also proposed a regulation called 'Regulation Crypto Assets', which would provide exemptions allowing certain crypto investment contracts to raise up to $5M over four years or $75M annually. The proposal includes a conditional safe harbor and other measures aimed at creating a clearer framework for the industry.

President Trump wants the Clarity Act passed, calling it 'a very, very powerful structured legislation' that will keep the US ahead of China and others in the field. He also described the US as being at the 'very beginning of a revolution' in finance.