Bitcoin held steady on Thursday, keeping near its recent highs, as markets digested the latest draft of a major US regulatory bill, while Middle East war concerns remained.
The world's largest cryptocurrency fell 0.3% to $65,732.30 by 9:38 AM, remaining close to its highest level in five weeks reached earlier this week, following a sharp rebound from its yearly lows. Prices for other cryptocurrencies also rose.
However, the recovery of cryptocurrencies stalled in the face of escalating tensions in the US-Iran conflict, as the two sides exchanged blows for the twelfth time in a row, while the Yemeni Houthi group opened a potential new front in the Red Sea.
Cryptocurrency markets absorb a new draft transparency law, with eyes on the ethics clause.
A new draft of the Transparency Act circulated in Washington on Wednesday, in a move lawmakers described as progress toward a final Senate vote on the long-delayed cryptocurrency market structure bill.
The draft included a clause prohibiting the president and other senior officials from engaging in conflicts of interest related to cryptocurrencies, although this clause would expire in 2029, with regulators given a one-year grace period to implement it.
The ethics section came after talks between Republican senators and President Donald Trump, who approved what a White House official described as the most comprehensive ethics clause in history.
This compromise came after Trump's financial disclosures revealed he earned more than $1 billion from his cryptocurrency interests last year, a figure cited by Democrats as evidence of conflicts of interest linked to the White House.
The bill retained the Blockchain Regulatory Certainty Act, which exempts developers who do not control users' assets from being treated as money carriers. It also added language concerning federal sovereignty, provisional registration, and commodity pool operators.
The Transparency Act is a pivotal piece of legislation expected to establish a regulatory framework for cryptocurrencies in the United States. Progress on the bill has largely stalled over the past year due to disagreements over its treatment of stablecoins.
Cryptocurrency prices today: Altcoins move quietly in parallel with Bitcoin
Prices for the broader cryptocurrency market moved within a narrow range on Thursday, tracking the slight movements in Bitcoin.
Ether, the world's second-largest cryptocurrency, rose 0.4% to $1,922.24, while XRP added 0.3%.
Solana and Cardano rose by 0.4% and 1.6% respectively, while BNB climbed by 0.3%.
Regarding meme coins, DOGE added 0.3%, while $TRUMP rose 1.9%.
