Bitcoin Holds $65,000 as Crypto Market Focuses on New Draft of US Regulation Bill

Bitcoin's price edged lower on Thursday but held firm near the $65,000 mark, as the market's focus shifted to the latest developments surrounding a key U.S. cryptocurrency regulation bill. Geopolitical tensions in the Middle East also continued to weigh on broader market sentiment, capping recent gains.

As of 9:46 AM ET, the world's largest cryptocurrency by market capitalization was down 1.3% to $65,093.3, according to Investing.com data. The price remains near a five-week high reached earlier in the week following a significant rebound from its yearly lows.

'Clarity Act' Draft Includes New Ethics Clause

Investors are closely monitoring a new draft of the "Clarity Act," a comprehensive crypto market structure bill, that began circulating in Washington on Wednesday. Lawmakers reportedly view the new text as a significant step toward bringing the long-stalled legislation to a vote in the Senate.

A key addition to the draft is an ethics provision that would bar the president and other senior officials from having conflicts of interest in the crypto sector. According to the source, this clause was the result of negotiations between Republican senators and President Donald Trump. White House officials described it as the most comprehensive ethics provision of its kind.

Context for the Provision

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The move follows financial disclosures showing President Trump earned over $1 billion from crypto-related interests last year, a point Democrats have highlighted as a potential conflict of interest. The new ethics rule would sunset in 2029 and gives regulatory agencies one year to implement its guidelines. The bill also retains provisions from the Blockchain Regulatory Certainty Act, which would exempt certain non-custodial developers from being classified as money transmitters.

Broader Market and Industry News

In other industry news, cryptocurrency exchange BitMEX announced it plans to cease operations in September. The platform, owned by HDR Global Trading, has instructed users to close positions and withdraw all assets by September 23. The company attributed the decision to a "strategic review of the business and the broader crypto industry."

The closure follows a turbulent period for the exchange's founders, who were pardoned by President Trump last year after pleading guilty in 2022 to violating U.S. anti-money laundering regulations. Most alternative cryptocurrencies, or altcoins, followed Bitcoin's slight downturn on Thursday. Ether (ETH) fell 1.9%, while XRP and Solana (SOL) saw modest declines.